Medtronic Will Pay $9.2 Million to Settle Improper Payment Allegations

Medtronic has agreed to pay $9.2 million to put to rest allegations that it provided kickbacks to a South Dakota neurosurgeon, the Department of Justice has announced.

The devicemaker allegedly made payments to the neurosurgeon as encouragement to use a Medtronic product and failed to report the payments to the Centers for Medicare and Medicaid Services as required.

The government alleged that the company paid for more than 100 social events at a restaurant owned by the neurosurgeon over a nine-year period to induce him to use Medtronic’s SynchroMed II intrathecal infusion pump, an implantable device used to deliver medication.