The Justice Department reports today that Blackstone Medical Inc., a subsidiary of the medical equipment company Orthofix International NV, has agreed to pay $30 million to resolve allegations that it promoted its products by paying illegal kickbacks to physicians. The alleged kickbacks included “sham consulting agreements, sham royalty agreements, sham research grants, travel and entertainment.” The case against Blackstone began when a whistleblower filed suit against the company on behalf of the United States, using the qui tam provisions of the False Claims Act. That whistleblower will now receive $8 million from the settlement as a reward for bringing the allegations to light.

Read the entire press release, “Orthofix Subsidiary, Blackstone Medical, Pays U.S. $30 Million to Settle False Claims Act Allegations”