The U.S. Justice Dept. (DOJ) announced that Cardinal Health (NYSE:CAH) agreed to pay more than $13 million to resolve kickback allegations. Allegations against Dublin, Ohio-based include a violation of the False Claims Act by paying “upfront discounts” to its physician practice customers in violation of the Anti-Kickback Statute. Get the full story at our sister site, Pharmaceutical […]
U.S. Justice Dept. (DOJ)
Avanos Medical to pay more than $22M to resolve criminal charges with DOJ
The U.S. Justice Dept. announced that Avanos Medical (NYSE:AVNS) agreed to pay more than $22 million to resolve a criminal charge related to fraudulent misbranding. Charges levied against the Alpharetta, Ga.-based medical device company relate to alleged fraudulent misbranding of its MicroCool surgical gowns. According to a DOJ news release, criminal information filed on July […]
Spine surgeon settles with DOJ for $4.4M in whistleblower case
The U.S. Department of Justice today announced a $4.4 million settlement with spine surgeon Wilson Asfora in a whistleblower case. According to a news release from the Joseph Greenwald & Laake law firm, which represented the whistleblowers, Asfora settled for the $4.4 million sum and a six-year exclusion from all federal payer programs, effectively precluding […]
Feds charge medical testing company with fraud
A federal grand jury has charged the uBiome co-founders with multiple federal crimes, including two fraud charges, money laundering and more. Now bankrupt, uBiome was founded by Zachary Apte, 36, and Jessica Richman, 46, in 2012 as a medical testing company that performed diagnostic analysis on fecal samples. The company offered a direct-to-consumer service called […]
Medtronic paying DOJ $9.2M to settle restaurant kickback allegations
The U.S. Justice Dept. (DOJ) announced that Medtronic (NYSE:MDT) will pay a total of about $9.2 million to settle improper payment allegations. Fridley, Minn.-based Medtronic agreed to pay $8.1 million to resolve allegations of False Claims Act violations regarding kickbacks for a South Dakota neurosurgeon, along with an additional $1.11 million related to allegations of Open […]
South Dakota provider to pay $20m to settle POD case
The U.S. Justice Dept. said yesterday that Sanford Health, Sanford Medical Center and Sanford Clinic of Sioux Falls, S.D., agreed to pay more than $20 million to resolve allegations that they submitted false claims to federal healthcare programs. The allegations include violations of the Anti-Kickback Statute and medically unnecessary spinal surgeries, according to a statement […]
ResMed reveals tentative $40m settlement with feds
ResMed (NYSE:RMD) last week revealed a tentative, $40 million settlement with the U.S. Justice Dept. to resolve a three-year probe into its resupply business. The San Diego-based respiratory company said it set aside $41.2 million to cover the $39.5 million settlement and any legal and administrative costs. In July 2016 the Justice Dept. subpoenaed ResMed for […]
Baxter cleared from DoJ antitrust saline probe
Baxter (NYSE:BAX) said yesterday that it has been cleared from a U.S. Dept. of Justice antitrust probe, launched in 2017, investigating companies that market intravenous saline solutions. The probe came as hospitals endured a shortage of intravenous saline solutions, which are used to hydrate hospital patients. The shortage dates back to late 2013, after drugmakers told […]
Feds indict 9 in $950m Operation “Spinal Cap” fraud case
US federal prosecutors with the Department of Justice this week unsealed charges against nine new defendants they claim are part of a long-running healthcare fraud case responsible for more than $950 million in fraudulent claims. The fraud scheme was reportedly run by former Long Beach, Calif.-based Pacific Hospital owner Michael Drobot, who was involved in […]
Former S.D. dentist pleads guilty to $17m medtech fraud scheme
A former dentist from South Dakota plead guilty last week to a $16.6 million scheme to defraud consumers through the sale of a sham laser device and associated treatments, promising it would cure more than 200 different conditions, according to a US Department of Justice report. If you want a dentist you can really trust […]
Medical device enforcement is getting more serious—particularly in Northeast
There has been aggressive momentum on the side of federal medical device anti-corruption enforcers, in particular in the Northeast. Maureen Ruane and Scott McBride, Lowenstein Sandler There are more questions than answers on what a new and unconventional administration in the White House will do in 2017 in many areas, no less so in medical […]
