Lawyer charged over alleged insurance fraud after Hurricane Ida poised to plead guilty
Summary
A lawyer named Richard William Huye III is expected to plead guilty to conspiracy to commit wire fraud related to insurance claims after Hurricane Ida in Louisiana. Prosecutors say he and his law firm improperly handled homeowners’ insurance claims and worked with a roofing company to collect money unfairly.Key Facts
- Richard William Huye III is charged with conspiracy to commit wire fraud connected to Hurricane Ida insurance claims.
- Huye worked for Texas law firm McClenny Moseley and Associates (MMA), which opened an office in New Orleans after Ida hit.
- Prosecutors say MMA encouraged an Alabama roofing company, Apex, to operate in Louisiana and use assignment of benefits (AOB) forms to control insurance claims.
- Many Louisiana insurance policies had rules that limited or required approval for AOBs, but MMA and Apex allegedly ignored these rules.
- Apex allegedly got homeowners to sign over their claims and sometimes signed agreements without homeowner knowledge.
- Huye and MMA sent letters to insurance companies claiming they solely represented homeowners without revealing Apex’s involvement.
- Huye faces up to five years in prison if convicted and was disbarred in Louisiana; MMA faced fines and bankruptcy.
- Court filings suggest Huye may cooperate with authorities by pleading guilty.
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