Medical device company settles US case over false claims

A New York-based medical device company will pay the U.S. government $12.5 million to resolve allegations that it had health care providers submit false claims to federal programs.

The Department of Justice said Wednesday that suburban Albany-based AngioDynamics will pay $11.5 million to resolve allegations related to an unapproved drug delivery device. The company will also pay another $1 million to settle claims stemming from a device used to treat malfunctioning veins.

Federal prosecutors say the misled consumers that federal programs would cover their devices' costs.

The government also alleged AngioDynamics was aware that insurers declined to provide coverage for certain procedures and instructed to use inaccurate billing codes when submitting claims.

AngioDynamics said in a statement that the decision resolves a previously reported matter.

© 2018 The Associated Press. All rights reserved.

Citation: Medical device company settles US case over false claims (2018, July 19) retrieved 16 April 2024 from https://medicalxpress.com/news/2018-07-medical-device-company-case-false.html
This document is subject to copyright. Apart from any fair dealing for the purpose of private study or research, no part may be reproduced without the written permission. The content is provided for information purposes only.

Explore further

Endo Health to pay $192.7M in gov't settlement

 shares

Feedback to editors