Skip to content

ESTECH Pays $1.4 to Settle Qui Tam False Claims Suit

July 16, 2009

DoJ announced Tuesday that Endoscopic Technologies, Inc. (Estech) a manufacturer of cardiac surgery devices, will pay $1.4 million to settle whistleblower allegations that it marketed its ablation devices to treat atrial fibrillation, a use not approved by the U.S. Food and Drug Administration (FDA). DoJ also alleged:

Estech promoted expensive heart surgeries using the company’s devices when less invasive alternatives were appropriate, advised hospitals to up-code surgical procedures using the company’s devices to inflate Medicare reimbursements, and paid kickbacks to healthcare providers to use its devices.

The whistleblower — who originally filed the suit under the qui tam provisions of the False Claims Act — will receive over $200,000 for uncovering the scheme.  To report healthcare fraud, contact Frohsin & Barger.

One Comment
  1. Good job, busting another off-label marketer!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: