News Briefs: July 29, 2024

Precision Lens and the estate of its former principal, Paul Ehlen, have agreed to pay $12 million to settle false claims allegations over kickbacks paid to ophthalmic surgeons to induce their use of its products in cataract surgeries, the U.S. Attorney’s Office for the District of Minnesota said July 25.[1] The kickbacks were in the form of travel and entertainment, such as high-end ski trips, fishing, golfing, hunting, sporting, and entertainment vacations. “For many of the trips, physicians were transported to luxury vacation destinations on private jets, including trips to New York City to see a Broadway musical, the College Football National Championship Game in Miami, Florida, and the Masters Tournament in Augusta, Georgia,” the U.S. attorney’s office said. A federal jury last year concluded that Precision Lens violated the False Claims Act and a court entered a $487 million judgment against the company and its owners. After a court decreased the judgment to $216 million, the parties entered into the $12 million settlement. The FCA lawsuit was set in motion by a whistleblower.

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