More Lawsuits Allege National Flood Insurance Program Cheated Sandy Victims Out Of Money
TOMS RIVER, N.J. (CBSNewYork) -- New lawsuits have been filed in the Superstorm Sandy insurance fraud scandal.
Some homeowners claim they were cheated out of sales tax money.
As WCBS 880's Sophia Hall reported, the four federal lawsuits were filed against the National Flood Insurance Program and three insurance companies.
The attorneys for the Sandy victims said the companies manipulated software to exclude sales taxes, cheating victims out of tens of thousands of dollars.
Attorney Chase Mathis represents a number of clients on the Jersey Shore.
"We have clients being forced to pay their mortgage and rent, and are scraping by," he said. "And it's just unfair. It's been two and a half years and these people haven't been properly compensated for their losses."
The plaintiffs reside in Rockaway Point, Lido Beach, East Atlantic Beach and Toms River.
FEMA, which runs the National Flood Insurance Program, declined to comment.
The executive in charge of the Federal Emergency Management Agency's insurance program has admitted that homeowners may have been cheated out of millions in insurance money.
Other lawsuits recently filed by Sandy victims claim engineering firms hired by insurers doctored reports to low-ball payouts