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Medtronic Spine, Formerly Kyphon Inc., to Pay U.S. $75 Million to Resolve Allegations Of Defrauding Medicare
Date:5/22/2008

in the identification of waste, fraud, and abuse and the significant return to the taxpayers of ill-gotten gains," said Terrance P. Flynn, U.S. Attorney for the Western District of New York.

In conjunction with the $75 million settlement, Kyphon has entered into a Corporate Integrity Agreement with the U.S. Department of Health and Human Services, Office of Inspector General. The Corporate Integrity Agreement contains measures to ensure compliance with Medicare regulations and policies in the future.

"Those who are complicit in causing the Medicare program to pay out unnecessary dollars will be pursued by OIG and our law enforcement partners," said Daniel R. Levinson, Inspector General of the Department of Health and Human Services. "This $75 million settlement restores much-needed funding to the Medicare Trust Fund, as well as protecting the integrity of the program and its beneficiaries."

The settlement with Medtronic Spine LLC was the result of a coordinated effort among the Commercial Litigation Branch of the Justice Department's Civil Division; the U.S. Attorney's Office for the Western District of New York in Buffalo, Affirmative Civil Enforcement Unit; and the Department of Health and Human Services' Office of Inspector General and Office of Counsel to the Inspector General.


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SOURCE U.S. Department of Justice
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