Michael LeDuc’s Botched Arm Amputation Fraud: A Tale of Forged Records and Two Intact Arms

Mashrukh Khan: In one of the most absurd insurance fraud attempts on record, Michigan resident Michael Earl LeDuc tried to claim $251,000 by faking the loss of his left arm in a wood chipper accident—despite still having both arms.

LeDuc, then 33 and from Escanaba, purchased an accidental death and dismemberment policy from CUNA Mutual Group in 2009. In August 2010, he filed a claim alleging his arm was ground off in a wood chipper, entitling him to a $251,000 benefit payout.

To support the claim, LeDuc obtained genuine medical records from OSF Saint Francis Hospital in Escanaba. He then forged altered versions claiming amputation due to the accident and submitted them to the insurer.

CUNA Mutual Group grew suspicious and requested verification. Investigators quickly discovered LeDuc had both arms intact, exposing the forgery. The probe also uncovered additional schemes: faking a serious head injury for benefits from Standard Insurance Company, multiple false claims with AFLAC, selling an ATV on eBay without delivery, and using bounced checks and forged documents to buy fuel for his gas station.

Federal authorities charged him with wire fraud for interstate communications related to the false claim. LeDuc pleaded guilty.

On August 18, 2011, U.S. District Judge R. Allan Edgar in Marquette sentenced him to 57 months in federal prison, followed by three years of supervised release. He also faced restitution obligations.

The case, investigated by the FBI and U.S. Attorney’s Office for the Western District of Michigan, underscores how blatant fraud attempts often collapse under basic scrutiny here, the simple fact that the claimant remained fully limbed.

It serves as a cautionary example of insurance fraud’s consequences, including lengthy prison terms for schemes driven by greed rather than genuine loss.