United States Indicts Spinal Device Company and Two of Its Executives for Paying Kickbacks to Spine Surgeons

On September 7, 2021, the U.S. Attorney's Office in Boston announced a grand jury indictment of medical device company SpineFrontier, Inc., and two of its executives, Kingsley Chin and Aditya Humad, for violating the anti-kickback statute by allegedly paying surgeons bogus "consulting" fees to induce the surgeons to use SpineFrontier products...

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New charges filed against president of medical technology firm alleging conspiracy to pay kickbacks and submit over $70M in false claims for COVID tests

A federal grand jury handed down a superseding indictment against the president of California-based medical technology company Arrayit Corporation, Mark Schena, in connection with the submission of over $70 million in false and fraudulent claims for allergy and COVID-19 testing.  Additionally, a criminal information was filed against each of Paul Haje, Arrayit’s...

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Marketing firm Publicis sued by Massachusetts AG for fueling pain meds epidemic and getting docs to prescribe more pain meds

 Massachusetts Attorney General Maura Health sued a global marketing company  Publicis for engaging in unfair and deceptive marketing schemes to help a pain medication maker to market and sell certain pain medications that are addictive painkillers. The work included creating sales training materials and emails and other information distributed to prescribers to...

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Federal appeals court affirms $111 million jury award to Government in whistleblower case for kickbacks by blood testing diagnostic laboratories

A federal jury has awarded the Government $111 million against two blood testing labs and their sales consultants were hit with a $111 million for knowing and willful violations of the Antikickback statute and False Claims Act (31 U.S.C. § 3729) (FCA). Blood testing labs Health Diagnostic Laboratory (HDL) and Singulex entered into exclusive...
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SEC lawsuit charges former credit relating agency Morningstar Credit Ratings LLC violated securities laws regarding internal controls

The Securities and Exchange Commission filed a civil action alleging that former credit ratings agency Morningstar Credit Ratings LLC  violated disclosure and internal controls provisions of the federal securities laws in rating commercial mortgage-backed securities (CMBS). Credit ratings are used by market participants to help evaluate credit risk, price certain securities, and guide the...
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DOJ sues Walmart nationwide for dispensing controlled substances to pharmacies through prescription opioid crisis

The Department of Justice has filed a nation-wide lawsuit against Walmart unlawfully dispensed controlled substances from pharmacies it operated across the country and unlawfully distributed controlled substances to those pharmacies throughout the height of the prescription opioid crisis. The complaint alleges that this unlawful conduct resulted in hundreds of thousands of violations of the Controlled...
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