Prosecutors seek records in Medtronic fraud probe
I've mentioned this sad situation before:
Federal prosecutors have subpoenaed Medtronic Inc. over documents relating to a bone growth study authored by a former U.S. Army surgeon suspected of fraud.
The U.S. Attorney's Office in Massachusetts also ordered the Fridley-based medical device giant to turn over information about "contracts, research grants, speaking and education programs, and payments for certain named physicians," according to documents filed Tuesday with the Securities and Exchange Commission.
The company said it will comply with the subpoena.
Kuklo is accused of making false claims about the use of the company's Infuse bone-growth product to treat bone and spine injuries in soldiers hurt in Iraq. At the time, he was a paid consultant to Medtronic.
Officials at Walter Reed said an investigation found that a study conducted by Kuklo and others overstated the product's benefits in healing bones shattered in warfare. The study was published in a British medical journal, which later retracted it.
Medtronic has confirmed that Kuklo became a consultant in August 2006 but said his work for the company was not related to the Walter Reed study. The company has acknowledged it paid Kuklo $800,000 for consulting services. He remained a consultant with Medtronic until early May.