At CLM’s 2025 Annual Conference, insurance fraud investigators Donald Orlando, director of litigation, Tradesman Program Managers, and attorney Kirk Willis, CEO, The Willis Law Group, PLLC, presented their groundbreaking work combating staged accidents in the construction industry. The session, moderated by Tracy Abatemarco, partner, Wood Smith Henning & Berman LLP, revealed how they have revolutionized fraud defense through aggressive investigation and prosecution strategies.
The presentation highlighted Tradesman Program Managers’ RICO complaint in New York that brought national coverage and attention to the growing problem of organized insurance fraud rings, and how that has opened up new avenues to uncover and combat insurance fraud
Infiltrating Criminal Operations
“Fraud is rampant throughout the United States. It’s always been there,” explained Orlando. “But in the past 15 years, it’s gone completely unchecked, and the cases that used to be smaller ones have manifested into, now, $5 million to $7 million claims.”
The presentation showcased shocking video evidence of construction workers and others deliberately staging accidents to file fraudulent insurance claims worth millions. Orlando detailed how his team infiltrated criminal operations by placing undercover former law enforcement officers on construction sites, as well as placing visible cameras and hidden cameras to fool fraudsters.
Willis, who filed multiple RICO (Racketeering Influenced and Corrupt Organizations Act) lawsuits against fraudulent networks, explained his unconventional approach: "You sued me. Now you can't leave. You've got to stay for the entire party." Rather than settling cases, plaintiffs were forced to explain their actions on record, creating unprecedented pressure on fraudsters.
The speakers revealed how their investigation has uncovered connections between law firms, doctors, litigation funding companies, and international criminal organizations. They reported that in Tradesman's case alone, 88% of workers' compensation cases were fraudulent, representing billions in potential losses.
Preying on the Vulnerable
The fraud taking place often involves cartel and gang members intimidating plaintiffs. "When you take advantage of human beings that are poor, that's unacceptable from a humanitarian perspective. We can't have law firms infiltrate our legal system," Orlando emphasized, highlighting how vulnerable migrants are exploited in these schemes, often undergoing unnecessary surgeries after staging accidents.
“These are poor people. These are people who live in warehouses; they live in basements; they live anywhere they can, 20 people to a room who have nothing. So, they stage an accident. They’re not hurt. They’re not injured. And they’re having cervical fusion, lumbar fusion…[they have] a steel plate in [their] neck...[they have] a steel plate in [their] back. [They get] a couple bolts in [their] shoulder…and now these people are potentially getting deported…those medical screws that they implant into the spinal surgeries last 10 years…these are 20–30-year-old people.”
The Importance of Collaboration
The presentation emphasized the importance of industry collaboration, with Orlando stating that their $10 million investigation investment saved "over a billion dollars" in fraudulent claims. They encouraged attendees to share evidence of suspected fraud to strengthen prosecution efforts.
This initiative marks a significant shift in how the insurance industry combats fraud, moving from settling questionable claims to actively prosecuting the organized criminal enterprises behind them.