The U.S. government has reached a $550,000 settlement with the Prometheus Group, a New Hampshire-based manufacturer of rectal therapeutic systems, and its president, Richard Poore, over allegations that they violated the False Claims Act.
The lawsuit alleged Prometheus and Mr. Poore encouraged healthcare providers to improperly reuse single-user rectal sensors and single-use catheters on multiple patients, leading to false Medicare claims, according to a March 26 U.S. Department of Justice news release.
According to the complaint, investigators also allege that Prometheus disregarded FDA restrictions, instructing providers to reuse devices meant for single use only by using a glove or condoms to cover the probes to cut costs.
The case was pursued by the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the Western District of Michigan with assistance from the HHS, Office of Inspector General, FDA and FBI.
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