Orthofix To Pay $42M To End Kickback, Medicare Fraud Claims

Law360, New York (June 7, 2012, 2:40 PM EDT) -- Orthofix International NV on Thursday agreed to pay $42 million to settle civil and criminal allegations that the manufacturer of bone growth stimulation devices defrauded Medicare and paid kickbacks to doctors to encourage patients to purchase, rather than rent, its devices.

The Lewisville, Texas-based company agreed to pay $34 million to settle civil False Claims Act allegations brought by health care consultant Jeffrey Bierman in a 2005 whistleblower suit in Massachusetts federal court, the company said in a U.S. Securities and Exchange Commission filing.

Stuart F....
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