| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

Home 
 
 News
 Irish
 European
 International
 
 Analysis/Comment

RSS FEED


How to use our RSS feed

 
Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.

Welcome

Finfacts is Ireland's leading business information site and you are in its business news section.

We provide access to live business television and business related videos from: Bloomberg TV; The Wall Street Journal; CNBC and the Financial Times. Click image:

Links

Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Irish Economy

Global Income Per Capita

Global Cost of Living

Irish Tax 2008

Climate Change Reports

Global News

Bloomberg News

CNN Money

Cnet Tech News

Newspapers

Irish Independent

Irish Times

Irish Examiner

New York Times

Financial Times

Technology News

 

Feedback

 

Content Management by interactivetools.com.

News : International Last Updated: Apr 24, 2009 - 5:31:05 PM


Five makers of orthopaedic implants paid more than $221 million to US surgeon "consultants" in 2007; Inducement fees of $800 million were paid from 2002-2006
By Finfacts Team
Feb 27, 2008 - 5:01:14 AM

Email this article
 Printer friendly page
Stryker made payments to 328 doctors in 2007 - Stryker Orthopaedics has plants in Cork and Limerick, Ireland.

Five makers of orthopaedic implants paid more than $221 million to surgeon "consultants" in 2007, according to a US Senate committee that plans to question the payments at a hearing today.

The US healthcare industry is a huge business and in the past, issues such as payments to researchers by hedge fund managers for "seminars" on their work and provision by drugs companies of lavish free junkets to doctors, has raised concerns about the use of kickbacks within the law but where an obvious conflict of interest is present.

Today's hearings in Washington DC, are titled: Surgeons for Sale? Conflicts and Consultant Payments in the Medical Device Industry

The companies involved in the payments -- Zimmer Holdings; Biomet; Stryker Corp.; Smith & Nephew PLC and the DePuy Orthopaedics unit of Johnson & Johnson, -- agreed to disclose the payments last September in settling government allegations that they violated anti-kickback laws by paying physicians to use their products exclusively.

Four of the companies, with the exception of Stryker, agreed to pay $310 million to settle claims that the payments were, in reality, rewards to doctors who selected a company's hip and knee implants, even when they weren't necessarily the best for a particular patient. Stryker agreed to government supervision but didn't make a payment. The companies didn't admit any wrongdoing.

The Senate Special Committee on Aging will discuss the practice of device manufacturers retaining surgeons as paid consultants in today's hearing. Sen. Herb Kohl, who is chairman of the committee, has proposed legislation that would mandate disclosure of consulting payments by medical-device makers and drug companies.


The Wall Street Journal says that the government inquiry, by the Justice Department and the Department of Health and Human Services, questioned a range of financial transactions between the orthopedics manufacturers and surgeons.

In some cases, a company sales representative would spend one or two hours in an operating room watching a surgeon implant his company's device. The company would then pay the doctor for eight to 10 hours of "training" services, according to findings that government investigators shared with the committee.

In total, payments to surgeons from these companies amounted to more than $800 million from 2002 through 2006, the investigation found.

Related Articles


© Copyright 2009 by Finfacts.com

Top of Page

International
Latest Headlines
Lehman ousted whistleblower in 2008 who had raised red flags with Big 4 accounting firm Ernst & Young on $50bn scam; Box-ticking auditors in frame
Real price of Amsterdam house only doubled in more than 350 years
US housing starts and permits fell in February because of severe weather
Markets News Tuesday: Shares rise in Europe and Asia; Investors in Japan expect central bank to extend lending support
Tuesday Newspaper Review - Irish Business News and International Stories - - March 16, 2010
Markets News Afternoon: US industrial production was flat in February; China held $889bn in Treasury securities in January - - Ireland held $$39bn
Moody's says US and the UK are moving closer to losing their AAA credit ratings as the cost of servicing their debt rises
Markets News Monday: China calls pressure on currency appreciation "protectionism"; Shares fall in Europe and Asia; Aryzta reports flat half-year profits
Global economic recovery remains strong in 2010 but the risks are mounting for 2011
Monday Newspaper Review - Irish Business News and International Stories - - March 15, 2010
London and New York lead in Global Financial Centres report followed by Hong Kong and Singapore; Dublin gets ranking of 31 in 75-city sample
Markets News Friday: Dukes to become Anglo chairman; HSBC confirms theft of Swiss CD with names of 24,000 French clients
Friday Newspaper Review - Irish Business News and International Stories - - March 12, 2010
Without reform, annual per employee health care costs for American companies will triple to nearly $29,000 by 2019
World trade heading for double-digit growth in 2010
Markets News Afternoon: Annual Irish production increased by 2.3% in January 2010; US weekly initial jobless benefit claims fell slightly last week
US trade deficit narrowed in January; 2009 trade gap was $378.6 billion
Markets News Thursday: Origin Enterprises reports dip in profit; BP to acquire oil field in offshore Brazil; Oil price over $82 in New York
China's consumer price index rose at 2.7% annual rate in February; Production also rises
Japan revises down fourth quarter 2009 GDP