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merzkrashed replied to the topic Recent Examples of Kickback Allegations in the forum Consultants and Legal Basics 8 years, 2 months ago
I found too many companies charged for illegal kickbacks violations for example:
1- In North Carolina, Minneapolis-based Cardiovascular Systems, Inc. (CSI), has agreed to pay $8 million to resolve allegations that it paid illegal kickbacks to induce physicians to use the company’s medical devices from kickback allegations. As we learned ” The federal anti-kickback statute proscribes the offering, payment, solicitation or receipt of any remuneration in exchange for a patient referral or referral of other business for which payment may be made by a federal health care program, including Medicare and Medicaid.”2- Olympus Corp. of the Americas (OCA) was charged in a criminal complaint filed in Newark, New Jersey, federal court with conspiracy to violate the Anti-Kickback Statute (AKS), which prohibits payments to induce purchases paid for by federal health care programs.For example:
– OCA gave a hospital a $5,000 grant to facilitate a $750,000 sale.
– OCA held up a $50,000 research grant until a second hospital signed a deal to purchase Olympus equipment.
– OCA paid for a trip for three doctors to travel to Japan in 2007 as a quid pro quo for their hospital’s decision to switch from a competitor to Olympus.
(As we learned :Modest gifts (under $100) are ok, IF they serve an educational purpose or help in the doctor’s practice)– A doctor with a major role in a New York medical center’s buying decisions received free use of $400,000 in equipment for his private practice.
(As we learned Ok to provide modest meal for a physician while discussing product info, contracts, etc. but NOT free use of $400,000 equipment in his private practice!!)