Tuesday, October 02, 2007

Crooked joints?


Four of the US’s biggest makers of artificial hips and knees have agreed to pay a total of $310 million in penalties to settle federal accusations that they used fake consulting agreements and other tactics to get surgeons to use their products.

Under the settlements, which were announced yesterday by the United States attorney in Newark, the four companies were charged with criminal conspiracy to violate anti-kickback laws. But they will not be prosecuted if they follow new compliance procedures under federal monitoring for 18 months.

“This industry routinely violated anti-kickback statutes by paying physicians for the purpose of exclusively using their products,” said Christopher J. Christie, the United States attorney in Newark. “Prior to our investigation, many orthopedic surgeons in this country made decisions predicated on how much money they could make — choosing which device to implant by going to the highest bidder.”

“The dollar figures were a little higher than expected, but this is being viewed as a speeding ticket for these companies,” said Robin Young, a consultant and publisher of Orthopedics This Week, a newsletter.

More at the NYT

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