Boston Scientific to pay US$30 mil. over heart devices: US Justice Dept.
ReutersWASHINGTON--Boston Scientific Corp. agreed to pay US$30 million to settle allegations that the Guidant unit it acquired in 2006 knowingly sold defective heart devices implanted in Medicare patients, the U.S. Justice Department said on Thursday.
October 19, 2013, 12:42 am TWN
Guidant from 2002 to 2005 sold the implantable defibrillators even though it knew they could short-circuit and become ineffective at correcting heartbeat rhythms, the department said in a statement.
In 2010, similar allegations led Boston Scientific to plead guilty to two misdemeanor charges of withholding information from the U.S. Food and Drug Administration (FDA) and agree to pay US$296 million in fines.
The latest settlement resolves a civil lawsuit the Justice Department brought in 2011 under a law designed to recover money defrauded from government programs such as Medicare.