Medtronic to pay feds $4m to settle product labeling case

By Brad Perriello

Medtronic agrees to pay more than $4 million but admits no wrongdoing in settling federal False Claims Act charges that it labelled products manufactured overseas as made in the U.S.

Medtronic (NYSE:MDT) agreed to pay $4.4 million but admitted no wrongdoing to settle federal charges that it falsely labeled products manufactured overseas as made in the U.S.

The Minnesota U.S. attorney’s office said yesterday that Fridley, Minn.-based Medtronic marked products made in Malaysia and China as manufactured in Tennessee between 2007 and 2014. Those products were sold to the U.S. Veterans Affairs Dept. and the Defense Dept. in violation of the Trade Agreements Act, federal prosecutors alleged.

Those devices included cardiac lead anchoring sleeves, spine surgery products and a handheld device used with a wireless cardiac device, according to the feds. The settlement is the result of a qui tam whistleblower lawsuit

Minnesota U.S. attorney Andrew Luger said the settlement enforces the requirement that products sold to the military and VA be made in America.


Josh Sandberg

Josh Sandberg is the President and CEO of Ortho Spine Partners and sits on several company and industry related Boards. He also is the Creator and Editor of OrthoSpineNews.

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