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Whistleblower Lawsuit Accuses Orthofix, Inc. (OFIX) of Kickbacks Scheme


8/13/2012 8:13:40 AM

A recently unsealed whistleblower lawsuit in Florida accuses Orthofix of helping to file 'thousands' of false Medicare claims beginning in 2002 as part of a kickbacks scheme. Orthofix (NSDQ:OFIX) allegedly participated in a scheme to defraud Medicare and state health programs with a kickbacks scheme designed to lure doctors into using the company's neurological monitoring devices during orthopedic surgeries, according to a whistleblower lawsuit unsealed this week. The lawsuit, revealed August 8 in the U.S. District Court for Middle Florida, alleges that Orthofix and its Blackstone subsidiary, a hospital and 2 doctors bilked the system by filing reimbursement claims for services that were never performed or were performed by unauthorized personnel.

Read at MassDevice

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