CareFusion, a California-based medical device manufacturer, agreed to pay $40.1 million under a multi-state and federal settlement to resolve allegations of improper marketing and kickback schemes. Although ChloraPrep was approved only for the preparation of surgical and injection sites, CareFusion allegedly marketed the product for uses that were not approved by the FDA, some of which were not medically accepted. CareFusion was also accused of paying $11.6 million in kickbacks to a single doctor who, at the time, was co-chair of a committee at a non-profit organization that establishes standards of care, in return for recommending ChloraPrep.

The allegations stem from a whistleblower lawsuit filed by Dr. Cynthia Kirk, a former vice president of regulatory affairs for CareFusion’s Infection Prevention Business Unit. The whistleblower will receive $3.26 million.

Read the DOJ press release, “CareFusion to Pay the Government $40.1 Million to Resolve Allegations That Include More Than $11 Million in Kickbacks to One Doctor”