Stryker Corp., an artificial joint manufacturer, and the Center for Neurosciences, Orthopedics & Spine have agreed to pay $345,000 to the Medicare Trust Fund to settle a federal kickback case., the U.S. Attorney’s Office for the District of South Dakota announced.
The corporation made payments to the Center in order to induce it and its surgery center to buy Stryker products. The federal Anti-Kickback Act prohibits the payments from one entity to another for the purpose of inducing the purchase of goods or services.
A former physician and board member of the center brought the suit under the qui tam provisions of the False Claims Act.
The Sioux City Journal reported on the settlement on June 24, 2006.