Spinal Device Maker will pay $12 million to settle bribery claims

According to the Department of Justice, spinal device maker Innovasis Inc. and its senior executives will pay $12 million to settle allegations that they violated the False Claims Act by paying bribes to spine surgeons to induce them to use Innovasis spine devices.

The Justice Department found that Innovasis provided improper compensation to 17 orthopedic and neurosurgeons to encourage them to use Innovasis spinal implants, devices and other equipment during procedures performed on Medicare beneficiaries.

During the relevant period, Brent Felix and his brother Garth Felix allegedly controlled or otherwise directed Innovasis’ operations, strategic decisions and contracts with surgeons…