A major case of fraud has come to light involving a Houston personal injury lawyer, Clyde J. Moore, who, along with his associate Mark Broussard, has been convicted of cheating clients out of millions. According to the U.S. Attorney's Office, Moore pleaded guilty to charges of mail fraud conspiracy and filing a false tax return. The scheme orchestrated through his firm, Clyde J. Moore Attorney at Law P.C., involved inflating medical bills and misrepresenting payments to clients who were entitled to settlement money after personal injury cases.
Details released by U.S. Attorney Nicholas Ganjei explained how the fraud, which spanned nearly a decade, was perpetrated. Moore and Broussard told their injured clients that they had paid more to medical providers than they actually had, resulting in clients receiving a smaller portion of their settlements, while Moore diverted those funds for his personal use, such as purchasing Ferraris and paying for private school tuition.
The total losses incurred by the clients are estimated to be around $2.4 million. As part of his guilty plea, Moore has agreed to pay over half a million dollars to the IRS for back taxes, and will also compensate his clients with an amount to be determined at the date of his sentencing, which is scheduled for September 8.
As per the Department of Justice, the investigation was led by IRS Criminal Investigation, and Assistant U.S. Attorney Robert S. Johnson is prosecuting the case. The co-conspirator, Broussard, has already pleaded guilty and is awaiting sentencing. Moore could face up to five years in prison for the conspiracy charge and another three for the tax fraud, with each count also carrying the possibility of a $250,000 fine.
