Medline Industries Inc., a medical products company, has settled a whistleblower lawsuit for $85 million. The company allegedly defrauded Medicaid and Medicare by using kickbacks to induce sales that the government programs then paid for.

The suit was brought by former Medline employee Sean Mason. Mason, who worked from 1998 to 2005 as a distribution service manager and director of account implementation, will receive $23.4 million of the final result. Mason claims that the kickbacks were occasionally labeled “rebates” but more often took the form of expensive gifts, junkets and charitable contributions.

The federal government had previously elected not to intervene, a rarity for cases resulting in such large settlements.