Medtronic, DOJ Reach $3M FCA Deal Over Pain Treatment

Law360, New York (February 6, 2015, 3:51 PM EST) -- The U.S. Department of Justice reached a $2.8 million settlement on Friday with Minnesota-based Medtronic over False Claims Act allegations that the company had received false Medicare payments for spinal cord stimulation treatments for chronic pain that were not approved by the U.S. Food and Drug Administration.

The settlement ends a whistleblower suit alleging that Medtronic had advised doctors in more than 20 states to bill Medicare for its "SubQ stimulation treatment" for chronic pain from 2007 to 2011, according to a statement from the DOJ. However, the procedure has not been approved by the FDA, and it was not a...

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