Allstate is taking aim at a Chicago surgery center and a wide cast of clinics, owners and a billing company, accusing them of running a coordinated insurance fraud scheme.
In a civil racketeering suit filed May 5, 2026 in the US District Court for the Northern District of Illinois, the insurer alleges that Rogers Park One Day Surgery Center sat at the center of a scheme to bill Allstate and its claimants for medically unnecessary - and, in some cases, unlawful - care tied to auto injury claims.
Five Allstate entities are named as plaintiffs, lining up against more than a dozen defendants. According to the filing, the cast includes Rogers Park itself, the surgery center's current and former owners Narjisha Thowfeek and Mohamed Sirajudeen (also known as Mohamed Siraj), Peterson Surgery Center LLC (now doing business as Rogers Park Surgery Center), chiropractor Manish D. Pandya, several affiliated providers - 87th Street Rehab Clinic, Deen Health System, New Life Medical Center, Advanced Medical Center, Paulina Anesthesia and RPAV Management DME - and the outside billing company AMS Medical Billing Consultants.
The story Allstate tells is one of ownership hidden in plain sight. The complaint alleges Rogers Park has been "controlled and illegally operated by laypersons who lack medical licenses," in violation of Illinois's Corporate Practice of Medicine doctrine - the rule that medical businesses must be owned by licensed clinicians.
The current owner, the filing states, is Thowfeek - a licensed practical nurse who, Allstate says, is not qualified under Illinois law to own a medical practice. She took control through Peterson Surgery in 2024, the insurer alleges.
From there, the alleged playbook will look familiar to seasoned claims handlers. Allstate says the defendants billed it for "improper and medically unnecessary surgery center fees," for anesthesia administered during injection procedures, and for chiropractic and physical therapy services that, according to the complaint, were not rendered as represented, if at all.
The legal pitch is aggressive. Allstate is suing under the federal racketeering statute, plus Illinois fraud and unjust enrichment law, and is asking for triple damages, interest, costs and fees.
The piece insurance professionals will want to watch closely is the forward-looking ask: Allstate wants the court to declare that it owes nothing - not on pending bills, not on previously denied ones, and not on anything the defendant providers might submit in the future - because, the complaint argues, the underlying services were "provided in violation of Illinois law."
For carriers and SIU teams, the suit is a window into where provider-fraud litigation is heading: less about chasing individual bills, more about challenging the legitimacy of the practices behind them.
The allegations have not been tested in court. The defendants have not yet filed a response, and no court has ruled on the claims.
