State Farm Fire and Casualty Co. has filed a motion in U.S. District Court that accuses policyholder attorneys formerly led by Richard “Dickie” Scruggs of bribery and violations of legal ethics.
State Farm is asking U.S. District Court Judge William H. Barbour Jr. to disqualify the three law firms still associated with the case, Shows vs. State Farm.
The Scruggs Katrina Group agreed to pay two whistle-blower sisters $150,000 a year each for stealing State Farm records to use in policyholder cases rather than for work performed, the insurance company’s motion says.
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