Auto transport company kills/injured someone in a car crash while transporting vehicle

if there are three responsible parties, the auction the owner hired to transport the vehicle, the transport company the auction hired and the driver of the vehicle (which is an employee of the transport company). The victim's family wanted to sue the auction based on the fact they had very deep pockets so they eventually dropped their suit against the transport company and driver. In fact they won a very substantial amount form the auctions insurance company. If it can be proven the transport company and it's employee conspired and agreed to affirm the driver was separate entity rather than an employee of the transport company in an effort to protect the transport company from being sued is this fraud?