Violation Tracker Individual Record
Company:
Parma Community General Hospital
Current Parent Company:
University Hospitals
Penalty:
$40,000
Year:
2010
Date:
June 4, 2010
Offense Group:
government-contracting-related offenses
Primary Offense:
False Claims Act and related
Secondary Offense:
kickbacks and bribery
Violation Description:
St. Jude Medical Inc., a heart device manufacturer; Parma Community General Hospital; and Norton Healthcare have paid the United States $3,898,300 to resolve false claim allegations that St. Jude paid illegal kickbacks to two hospitals to secure heart-device business. The kickbacks included alleged rebates that were "retroactive" and paid based on a hospital's previous purchases of St. Jude heart-device equipment and rebates that St. Jude paid for purchases of heart-device equipment sold by its competitors to induce purchases of similar equipment from St. Jude in the future.
Level of Government:
federal
Action Type:
agency action
Agency:
Justice Department Civil Division
Civil or Criminal Case:
civil
Facility State:
Ohio
Facility City:
Parma
HQ Country of Parent:
USA
HQ State of Parent:
Ohio
Ownership Structure of Parent:
non-profit
Major Industry of Parent:
hospitals
Specific Industry of Parent:
healthcare services
Source of Data:
Source Notes:
If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Parent company note:
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.
