LogisticsIndustry ContextThursday, July 23, 20263 min read

Staged truck crashes could bring 20 years in federal prison under new bill

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Staged truck crashes could bring 20 years in federal prison under new bill
Executive Summary

A Senate proposal would create federal penalties for people who stage commercial vehicle crashes or help organize them. The post Staged truck crashes could bring 20 years in federal prison under new bill appeared first on FreightWaves.

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U. S. Sen. Ashley Moody, R-Fla. , introduced legislation Wednesday targeting staged crashes involving commercial motor vehicles. The Staged Accident Fraud Prevention Act would make intentionally causing such a collision a federal crime. The proposal also covers people who organize or arrange these schemes.

Attorneys, physicians and other knowing co-conspirators could also face prosecution. Bill creates federal penalties Under the proposal, a participant could receive up to 20 years in federal prison. Organizers would face the same maximum punishment as drivers. Serious bodily injury or death would trigger a minimum 20-year sentence.

Courts could also impose fines under Title 18. “Anyone who stages or helps stage an accident with a commercial motor vehicle endangers people’s lives and livelihoods,” Moody said. “On top of that, these stunts run up insurance premiums for everyone,” she added. Moody also addressed the potential consequences for participants.

“This legislation sends a clear message: if you do this, you will be prosecuted,” Moody said. window. googletag = window. googletag || {cmd: []}; googletag. cmd. push(function() {googletag. defineSlot('/21776187881/FW-Responsive-Main_Content-Slot1', [[300, 100], [320, 50], [728, 90], [468, 60]], 'div-gpt-ad-1709668545404-0'). defineSizeMapping(gptSizeMaps.

banner1). addService(googletag. pubads()); googletag. pubads(). enableSingleRequest(); googletag. pubads(). collapseEmptyDivs(); googletag. enableServices(); }); googletag. cmd. push(function() {googletag. display('div-gpt-ad-1709668545404-0'); }); Reps. Mike Collins, R-Ga. , and Brandon Gill, R-Texas, introduced companion legislation in April 2025.

Their proposal carries the number H. R. 2662. The House referred that measure to its Judiciary Committee. OOIDA supports the proposal The Owner-Operator Independent Drivers Association endorsed Moody’s legislation. “Staged accidents are not victimless crimes,” said Lewie Pugh, OOIDA’s executive vice president.

“These are calculated, premeditated assaults that endanger lives, destroy livelihoods, and compromise highway safety.” Pugh said criminals “abuse the legal system for profit through false accusations and lawsuits.” Pugh said those lawsuits “contribute to skyrocketing insurance premiums for small trucking businesses.”

OOIDA represents nearly 150,000 members, according to the organization. Pugh said those members “support Senator Moody and her commonsense legislation.” He said the measure would protect truckers from “sophisticated criminal fraud schemes.” Several transportation and business organizations also support the proposal.

They include the American Trucking Associations and Florida Trucking Association. The National Motor Freight Traffic Association and Transportation Intermediaries Association also endorsed the measure. Other supporters represent insurance, warehousing, food distribution and motorcoach organizations.

While FreightWaves has been covering the Louisiana staged accident scheme for several years, we were not in a New Orleans courtroom this past week to follow the first criminal trial arising from the various indictments in the scheme.

The jury trial is expected to run a total of…— FreightWaves (@FreightWaves) March 8, 2026 Louisiana case involved 31 staged crashes Moody’s office cited a Louisiana fraud investigation in its announcement. Attorney Danny Patrick Keating pleaded guilty to conspiracy to commit wire fraud in 2021.

Keating admitted paying Damien Labeaud to stage 31 tractor-trailer crashes. He represented 77 plaintiffs connected with those collisions. window. googletag = window. googletag || {cmd: []}; googletag. cmd. push(function() {googletag.

defineSlot('/21776187881/fw-responsive-main_content-slot3', [[728, 90], [468, 60], [320, 50], [300, 100]], 'div-gpt-ad-1665767553440-0'). defineSizeMapping(gptSizeMaps. banner1). addService(googletag. pubads()); googletag. pubads(). enableSingleRequest(); googletag. pubads(). collapseEmptyDivs(); googletag. enableServices(); }); googletag. cmd.

push(function() {googletag. display('div-gpt-ad-1665767553440-0'); }); Keating settled 17 of the 31 fraudulent cases, according to the Justice Department. Prosecutors linked those settlements to approximately $1. 5 million in payments. Keating kept about $358,000 in legal fees.

Court filings accused plaintiffs of providing false testimony and claiming fabricated injuries. Why it matters Staged crashes endanger truck drivers and expose carriers to fraudulent claims, legal costs and higher insurance premiums. The legislation would create a specific federal crime covering drivers, organizers and knowing co-conspirators. window.

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This briefing is based on reporting from Freightwaves. Use the original post for full primary-source context.

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