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Medtronic Pays $23.5 Million to End Government False Claims Investigation

Submitted by on December 13, 2011 – 6:11 pm2 Comments

Medtronic Pays $23.5 Million to End Government False Claims Investigation

Mercury News reports that Medtronic, Inc. has agreed to pay $23.5 million to the U.S. Justice Department to settle claims that the company paid kickbacks to doctors to implant its pacemakers and defibrillators.

The Justice Department alleged that Medtronic paid illegal kickbacks to doctors by filtering money through two post-market studies and two device registries which required each patient to have a Medtronic device implant. Medtronic allegedly “paid doctors a fee ranging from about $1,000 to $2,000 per patient” enrolled in these studies and registries. Because of the financial incentive of being able to enroll their patients in these studies and registries, physicians choosing pacemakers and defibrillators for Medicare and Medicaid beneficiaries were allegedly more likely to choose to use Medtronic medical products.

The Daily Journal reports that Benjamin Wagner, U.S. attorney for California’s Eastern District, stated, “Today’s settlement highlights one of the key purposes of the Anti-Kickback law – to ensure that judgement exercised by health care providers in treating Medicare and Medicaid patients is not influenced by unlawful payments.”

Medtronic admits no wrongdoing as part of the settlement.

2 Comments »

  • Arlene Zinkel Payne says:

    I had a DEFECTIVE medtronics Morpine pain pump. It NEVER worked. It stuck out of my stomach like a tuna fish can.(I actually put a “chicken of the sea” Label around it when I went to the surgery center to have it surgically removed.) It took 7 years to get it done. Including goint to a patient advocate, and contacting the White House about the problem. During this time I could not wear normal clothing because the pump was just below the skin and was constantly bruised from anything touching the skin, I actually could not even have shower water touch the pump area. Needless to say there was no sex in my marriage during the years I had the Medtronics morphine pump in my body. Medtronics was deceptive in it’s business ethics. They sent a representative to Surgical center to retreive the DEFECTIVE pump. He DID NOT tell me he worked for Medtronics.He did not have a name tag on him saying that he worked for Medtronics, nor did he tell me he was Medtronics representatibe. He attempted to get me to say that the DEFECTIVE MEDTRONICS pain pump initially worked. He argued with both me and my husband post surgically while I was still sedated that he should have the pump and not me. I had prior instructed ALL the medical staff that the pump was mine. It was in my body and it was MINE. I am VERY angry that Medtronics paid the Goverment MILLIONS yet the patients who suffered through the the pain of this DEFECTIVE PRODUCT RECEIVED no financial compensation at all.

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