Boston Scientific Corp. has agreed to pay $30 million to settle civil suit allegations with the Department of Justice that its subsidiary Guidant Corp. knowingly sold defective cardiac rhythm devices to health care facilities between 2002 and 2005, DOJ announced Oct. 17. DOJ filed the suit under the False Claims Act in January 2011, just several weeks after Boston Scientific had pleaded guilty in 2010 and settled with DOJ on criminal allegations addressing the same activity by Guidant, which occurred prior to Boston Sci's 2006 purchase of the firm. (See Also see "Legal Battle Tied To Guidant Saga Ends With Record Settlement, Probation" - Medtech Insight, 17 January, 2011.)
In both the criminal and civil suits, DOJ charged that Guidant continued to sell Ventak Prizm 2 and Renewal 1 and 2 devices that contained life-threatening defects, even after the...
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