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St. Jude Medical Settles Whistleblower Case for $3.65 Million

St. Jude Medical, Inc. (“St. Jude”), based in St. Paul, Minnesota, is a developer and manufacturer of cardiovascular and implantable neurostimulation devices, such as pacemakers and defibrillators. St. Jude has agreed to pay $3.65 million to resolve allegations that it knowingly overcharged the Department of Defense and Department of Veterans Affairs for replacement pacemakers and defibrillators. The allegations first surfaced in a whistleblower complaint brought under the qui tam provisions of the False Claims Act by two whistleblowers in Massachusetts.

According to the whistleblowers’ complaint, while St. Jude was actively marketing its products and the generous credits available if one its medical devices required replacement while still under warranty, it was actively concealing warranty credits from the government when replacement devices were bought while the original device was still under warranty. The United States alleged that St. Jude’s failure to give the appropriate warranty credits resulted in inflated charges to Department of Veterans Affairs hospitals and Department of Defense military treatment facilities for replacement pacemakers and defibrillators.

As their reward under the qui tam provisions, the two whistleblowers will receive approximately $730,000 of the settlement amount.

If you have any firsthand knowledge, information, or evidence related to any federal, state, county or city government fraud, you should speak with an experienced qui tam lawyer who can help you understand your legal rights and help you obtain the compensation you deserve.

If you have a claim, contact the Florida whistleblower attorneys at McCabe Rabin, P.A. for a free and confidential consultation by calling toll free at 877.915.4040 or e-mail kelly@mccaberabin.com.

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