Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Abbott Laboratories Pays U.S. $5.475 Million to Settle Claims That Company Paid Kickbacks to Physicians  Join our daily free Newsletter

MENAFN - - 12/30/2013 3:13:50 AM

Add to Mixx!


(Menafn - M2 PRESSWIRE via COMTEX)

Abbott Laboratories Pays U.S. 5.475 Million to Settle Claims That Company Paid Kickbacks to Physicians

Dec 30, 2013 (Menafn - M2 PRESSWIRE via COMTEX) --Abbott Laboratories has agreed to pay the United States 5.475 million to resolve allegations that it violated the False Claims Act by paying kickbacks to induce doctors to implant the company's carotid, biliary and peripheral vascular products, the Justice Department announced today. Abbott is a global pharmaceuticals and health care products company based in Abbott Park, Ill.

"Patients have a right to treatment decisions that are based on their own medical needs, not the personal financial interests of their health care providers," said Assistant Attorney General Stuart F. Delery of the Civil Division of the Department of Justice. "Kickbacks undermine the ability of health care providers to objectively evaluate and treat their patients, and will continue to be a primary focus of the Department's health care enforcement efforts."

The settlement resolves allegations that Abbott knowingly paid prominent physicians for teaching assignments, speaking engagements and conferences with the expectation that these physicians would arrange for the hospitals with which they were affiliated to purchase Abbott's carotid, biliary and peripheral vascular products. As a result, the United States alleged Abbott violated the Anti-Kickback Act and caused the submission of false claims to Medicare for the procedures in which these Abbott products were used.

"Physicians should make decisions regarding medical devices based on what is in the best interest of patients without being induced by payments from manufacturers competing for their business," said U.S. Attorney Bill Killian of the Eastern District of Tennessee.

"Offering financial inducements can distort health care decision-making," said Special Agent in Charge Derrick L. Jackson of the U.S. Department of Health and Human Services, Office of Inspector General in Atlanta. "OIG and our law enforcement partners vigilantly protect government health programs from such alleged abuses."

Carotid and peripheral vascular products are used to treat circulatory disorders by increasing blood flow to the head and various parts of the body, respectively. Biliary products are used to treat obstructions that occur in the bile ducts.

The settlement resolves allegations originally brought in a lawsuit filed by Steven Peters and Douglas Gray, former Abbott employees, under the qui tam provision of the False Claims Act , which allows whistleblowers to file suit on behalf of the United States for false claims and share in any recovery As part of today's resolution, Peters and Gray will receive a total payment of more than 1 million.

This settlement illustrates the government's emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Health and Human Services Secretary Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than 17 billion through False Claims Act cases, with more than 12.2 billion of that amount recovered in cases involving fraud against federal health care programs.

This settlement was the result of an investigation by the Justice Department's Civil Division, the U.S. Attorney's Offices for the Eastern District of Tennessee and the Northern District of California and the Office of Inspector General at the U.S. Department of Health and Human Services.

The lawsuit is captioned United States ex rel. Peters et al. v. Abbott Laboratories, Inc., Civil Action No. 3:09-CV-430 (E.D. Tenn.). The claims settled by this agreement are allegations only, and there has been no determination of liability.

((M2 Communications disclaims all liability for information provided within M2 PressWIRE. Data supplied by named party/parties. Further information on M2 PressWIRE can be obtained at http://www.presswire.com on the world wide web. Inquiries to info@m2.com.


 






International Provider
Apr 25, 2014 Orca Exploration announces 2013 results amid another year of challenges, CNW Group
Apr 25, 2014 GobiMin Announces the 2013 Results and Pays Dividend, CNW Group
Apr 25, 2014 "CTEG Cup" Guangzhou Badminton Champion Game 2014, JCN Newswire
Apr 25, 2014 Alibaba Founders Establish Charitable Trusts, CNW Group
Apr 25, 2014 Whistler Blackcomb Holdings Inc. Announces Timing of Fiscal 2014 Second Quarter Financial Results and Conference Call, CNW Group
Apr 24, 2014 ViaSat Litigation Update, CNW Group
Apr 24, 2014 Raise Production Inc. Announces 2013 Financial Results and Operations Update, CNW Group
Apr 24, 2014 Precision Castparts Corp. Sets Fourth Quarter Fiscal 2014 Earnings Release Date, GlobeNewswire
Apr 24, 2014 Alberta Round Tables on Sustainability - Defining Alberta's Pathways 2 Sustainability, CNW Group
Apr 24, 2014 Brookfield Property Partners to Proceed With Second Stage Plan of Arrangement to Acquire Remaining Common Shares of Brookfield Office Properties, Marketwire
more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help