CareFirst files $50 million fraud suit against brothers over ‘breathtaking’ scheme - Insurance News | InsuranceNewsNet

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June 18, 2026 Newswires
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CareFirst files $50 million fraud suit against brothers over ‘breathtaking’ scheme

Luke Parker, Baltimore SunBaltimore Sun

CareFirst of Maryland is demanding more than $50 million from two brothers over what it described as an international healthcare conspiracy “of breathtaking scale and audacity.”

The Baltimore-based company accused ex-insurance broker Avraham Rappaport and his brother, financial adviser Eliezer Rappaport, of heading a scheme to have their clients fly from Israel to Maryland to receive specialized medical care under CareFirst’s domestic policies, according to a federal lawsuit filed Monday,

Hundreds of payouts were made over the course of several years, per the complaint.

“For the conspiracy to work — as it surely did — it required many individuals, entities, and organizations to work in concert at the direction of the Rappaports,” the lawsuit states.

As of Thursday, the Rappaport brothers are the only defendants named in CareFirst’s complaint. However, the suit also mentions 20 John Does, who they described as the brothers “as-yet unmasked co-conspirators.”

Neither of the Rappaports had attorneys listed as representing them yet on Thursday. Comment requests that morning were not immediately answered. Officials at CareFirst could not be immediately reached for comment on Thursday.

This article will be updated.

Have a news tip? Contact Luke Parker at lparker@baltsun.com, 410-725-6214, on X as @lparkernews, or on Signal as @parkerluke.34.

©2026 Baltimore Sun. Visit baltimoresun.com. Distributed by Tribune Content Agency, LLC.

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