Whistleblower targets 3 largest device companies

Source AP

Three of the nation's largest medical device companies have been accused of marketing their products for unapproved uses and running up the U.S. government's medical bill, according to documents unsealed in Houston federal court. The complaints allege that Boston Scientific, St. Jude Medical, Medtronic and three smaller companies encouraged physicians to use their devices for unapproved uses by offering illegal kickbacks. All of the companies market surgical ablation devices, which use extreme microwave heat to destroy diseased tissue. The allegations against the companies, released Tuesday in the U.S. District Court in the Southern District of Texas, were made by a former Boston Scientific employee who is not named in the documents. Whistleblower lawsuits let private citizens sue on the government's behalf, keeping part of any money recovered. The government has until Aug. 21 to decide whether to join the lawsuit. A spokesman for Natick, Mass-based Boston Scientific Corp. said the company sold its ablation units in 2006 and 2007 and no longer markets the devices. The complaints allege that the companies encouraged physicians to use the products for "off-label" uses, or those not approved by the Food and Drug Administration. Instead of undergoing less invasive procedures that could be performed in a clinic, companies encouraged physicians to conduct more time-consuming procedures performed in the hospital setting.