Spinal Device Co. Inks $1M Midtrial Deal To End FCA Claims

By Gina Kim (May 5, 2022, 4:33 PM EDT) -- Spinal implant maker Reliance Medical Systems reached a deal Thursday to end the federal government's False Claims Act suit alleging it orchestrated kickbacks to surgeons who used its products in spinal surgeries, agreeing to a $1 million settlement the day after opening statements in the California federal trial.

The U.S. Department of Justice has given preliminary approval to the deal, prosecutor David M. Finkelstein told U.S. District Judge Dean D. Pregerson early Thursday. The deal, which was cut to avoid expenses and uncertainties associated with further litigation, does not constitute as an admission of liability, Finkelstein said.

"The defendants will pay...

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