- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Adrianne Appel2024-05-30T19:00:00
A medical device manufacturer and two top executives agreed to pay a total of $12 million to settle allegations originally brought by a whistleblower that they paid kickbacks to physicians.
Innovasis; Brent Felix, president and founder of the company; and Garth Felix, chief financial officer, violated the False Claims Act by paying kickbacks to spine surgeons to induce them to use Innovasis’s spinal devices, the Department of Justice (DOJ) alleged in a settlement agreement published Wednesday.
From January 2014 through December 2022, Innovasis provided payments, such as consulting fees, intellectual property acquisition, licensing fees, performance shares, and other examples, to 17 orthopedic surgeons and neurosurgeons as an inducement for them to use Innovasis spinal implants and other devices, the DOJ said. The alleged payments were suspicious because they were higher than what would be expected. Some payments were made but services were never performed and intellectual property never provided.
THIS IS MEMBERS-ONLY CONTENT. To continue reading, choose one of the options below.
News and analysis for the well-informed compliance or audit exec. Select an option and click continue.
Annual Membership $499 Value offer
Full price one year membership with auto-renewal.
Membership $599
One-year only, no auto-renewal.
Becton Dickinson medical device company will pay $175 million for “repeatedly” misleading investors about its Alaris infusion pump, a product the company knew was flawed and was sold without the required patient-safety approvals, the Securities and Exchange Commission said.
Prysmian Cables and Systems USA agreed to pay $920,000 to settle allegations it falsified tests and compliance certifications concerning cable it sold to the U.S. military for use in vehicles, the Department of Justice said.
CityMD, the largest provider of urgent care practices across New York and New Jersey, agreed to pay approximately $12 million as part of a settlement with the Department of Justice addressing the alleged submission of false claims for payment for Covid-19 testing.
USAA Federal Savings Bank has been hit with its third cease and desist order from the Treasury Department’s Office of the Comptroller of the Currency in the past five years for failing to correct unsafe and unsound banking practices.
The Securities and Exchange Commission charged bankrupt fashion retailer Express with failing to disclose nearly $1 million in perks to a former chief executive, but did not levy a financial penalty thanks to its cooperation, the SEC said.
A Minnesota transportation company agreed to pay nearly $258,000 to settle allegations that a subsidiaries violated sanctions against Cuba and Iran more than 80 times, the U.S. Treasury Department’s Office of Foreign Assets Control said.
