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# Entellus Medical, Doctor, Resolve False Claims Suit
- URL: https://www.fdaweb.com/entellus-medical-doctor-resolve-false-claims-suit/
- Published: 2021-12-09T12:00:00.000Z
- Updated: 2026-09-14T17:25:08.000Z
- Author: David McFarland
- Tags: Devices, #legacy-id-D5150741

Entellus Medical and **Jeffrey Gallups**, founder, owner, medical director, and past-CEO of Milton Hall Surgical Associates (MHSA), that employed multiple physicians throughout north Georgia, have agreed to pay about $1.2 million and $3 million respectively to resolve allegations they violated the False Claims Act through an unlawful kickback arrangement. A Department of Justice [statement](https://click.connect.hhs.gov/?qs=b430ed69aff20a4478cffb99807ad9cd25cc29b6575d8178a8394227844e786c75b86abf0376c43a96164fe0cc4f1b14d08eceb2054a51b4&ref=fdaweb.com) says the claims were first raised by a whistleblower who was a former MHSA physician-employee. He will receive about $614,000 from the settlement.

The government alleges that Entellus, which manufactures products used in sinus surgery, paid kickbacks to Gallups to induce him to direct MHSA physicians to use Entellus sinusplasty medical devices and to increase the volume of sinus surgeries performed at MHSA.

The department says Entellus was acquired by Stryker in 2017 and its compliance personnel flagged the arrangement and elected not to renew it. Stryker agreed to pay $1.2 million to resolve claims arising from the alleged Gallups/Entellus kickback arrangement.

The government also says that in or around 1/2016, Gallups entered into a kickback arrangement with NextHealth, a now-defunct medical laboratory, under which he directed MHSA doctors to order toxicology and genetic tests from NextHealth despite physician objections that the tests were not necessary. NextHealth reportedly paid Gallups a “commission” of 50% of the revenue generated from the tests.