Cochlear Settles Kickback Claims On Hearing Implants

Law360, New York (June 9, 2010, 4:39 PM EDT) -- Hearing implant manufacturer Cochlear Americas has agreed to pay $880,000 to settle allegations that it paid illegal kickbacks to health care providers to secure sales of cochlear implant systems.

Cochlear Americas, a unit of the Australian company Cochlear Ltd., has agreed to resolve a False Claims Act lawsuit initially launched by a whistleblower in 2004, the U.S. Department of Justice said Wednesday. The lawsuit claimed the company illegally paid doctors who prescribed the use of the Cochlear devices for Medicare and Medicaid patients.

The DOJ intervened...
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