Boston Scientific Settles for $22M

Boston Scientific Corp. has settled with the U.S. Department of Justice, agreeing to pay $22 million, according to the Natick, Mass.-based medical device giant, ending a probe that began in 2005. The firm has not admitted wrongdoing.

The allegations involve a Justice investigation that focused on the question of whether Guidant Corp. paid kickbacks to doctors to recommend via post-market surveys the Ventak Prizm 2 and Contak Renewal 1 and 2 defibrillator models. The devices were recalled in 2005.

The company also has agreed to enter into a Corporate Integrity Agreement with the Office of Inspector General for the U.S. Department of Health and Human Services. The agreement requires changes to certain compliance procedures related to financial arrangements with healthcare providers involving only the company’s cardiac rhythm management business, which became part of Boston Scientific through the Guidant acquisition, the firm said.

Boston Scientific acquired Guidant Corp in 2006.