According to the Pennsylvania Attorney General’s Office website, Medtronic Inc. has agreed to a $2.8 million settlement with the federal government and 35 states to resolve allegations by two qui tam relators that the company engaged in healthcare fraud improperly promoting the sale of replacement insulin pumps to Medicare and Medicaid beneficiaries. The relators alleged in their recently unsealed qui tam complaint that the company launched a “Patient Outreach Campaign” to directly solicit beneficiaries to purchase its pumps in violation of Medicare and Medicaid regulations.
Strangely, while this case was filed in the Northern District of Texas, this settlement was announced by the Commonwealth of Pennsylvania, a state without a False Claims Act. Even more intriguing, there appears to have been radio silence from Medtronic and the federal government about this reported settlement.
More information for whistleblowers is located at the Nolan Auerbach & White website.