AngioDynamics Resolves False Claims Cases

The Justice Department says AngioDynamics will pay the U.S. $12.5 million to resolve allegations that it caused healthcare providers to submit false claims to Medicare, Medicaid, and other federal healthcare programs relating to use of its LC Bead and Perforator Vein Ablation Kit (PVAK) medical devices. A department news release says the company will pay $11.5 to resolve claims that it caused false claims to be submitted to government healthcare programs for procedures involving an unapproved drug-delivery device (LC Bead) that was marketed with false and misleading promotional claims. The company will separately pay $1 million to resolve allegations that it caused false claims to be submitted in connection with use of the PVAK.

A whistleblower initially brought the False Claims Act suits and will receive about $2.3 million from the settlement relating to LC Bead.

The release says that the FDA Office of Criminal Investigations assisted with the probe.