The Feds Change their focus...Ortho Kickback 2.0
It's now well known that the FBI has been actively investigating the orthopedic industry for the illegal kickbacks they offered to surgeons. The government contention is that this may have led to unnecessary surgery with a prosthesis enticed by a lucrative "consulting" contract offered to the surgeon by the manufacturer. 5 companies admitted wrongdoing and signed agreements with the DOJ. They had to publish (Biomet, Smith and Nephew, Stryker , and Zimmer) the lists of surgeons they have paid money to and they have agreed to have every single agreement with a physician screened by a DOJ representative prior to execution. The companies, except for Stryker are still at risk for prosecution if they do not abide by the provisions of their agreement with the govt.
When you look at some of the numbers they seem very impressive. Some docs were paid handsome 7 figure incomes by a few of the manufacturers. In all fairness, those are not the ones I look at with a hint of skepticism. The highest paid docs are typically being paid for their IP and have put in a very honest effort and deserve reasonable compensation. The docs who peak my interest are those who made 100,000 or so. That is not enough to be paid for intellectual property contributions. These are the docs who are most at risk in the DOJ investigation which has now switched gears and is going after the docs themselves. The NY Times recently reported on stage 2 of the investigation. With so many high powered folks looking for something wrong...they're bound to find something or someone to go after. I'm very skeptical that anything meaningful will be coming forth in the next few months. But there will be many nervous docs waiting for subpoenas. I can assure you that I will not be one of them !! ![]()

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