Cochlear Americas, a cochlear implant manufacturer that is a subsidiary of Cochlear Limited, will pay the government $880,000 to settle allegations that it violated the Anti-kickback Act and False Claims Act.

Allegedly, Cochlear Americas provided illegal compensation to physicians who prescribed for Medicare and Medicaid patients the company’s cochlear implant systems, in order to induce such prescriptions.  This action constitutes a violation of the Anti-kickback Act and allegedly resulted in False Claims to be submitted to Medicare and Medicaid. 

This lawsuit was filed by whistleblower Brenda March under the qui tam provisions of the False Claims Act in 2004.  Ms. March will receive $176,000 from the settlement. 

Click here to read the full article, “United States Settles False Claims Act Allegations With Cochlear Americas for $880,000″