Rotten Company

Stryker Corporation

Approved Evidence

Added to Rotten Company: 8/20/2026
Conduct/Event period: November 14, 2007–November 14, 2007
Ongoing: No
Resolution status: Resolved
Resolution date: November 14, 2007
misconduct

Stryker Paid $16.6 Million to Resolve Federal Health Care False Claims Allegations

Summary

In November 2007, Stryker Corporation and its former outpatient therapy division, Physiotherapy Associates Inc., agreed to pay the United States $16.6 million to resolve allegations that false claims were submitted to Medicare and other federal health-care programs. The Justice Department alleged that Physiotherapy billed services as one-on-one treatment when they were not provided on that basis and improperly retained excess or duplicate payments from Medicare, state Medicaid programs and the Department of Defense's TRICARE program. The settlement resolved the government's civil allegations and required Physiotherapy to enter a corporate integrity agreement with the Department of Health and Human Services Office of Inspector General. Source: U.S. Department of Justice https://www.justice.gov/archive/opa/pr/2007/November/07_civ_918.html

Evidence Weight
99.99
Severity: high
Recency Weight: 99.99239448854009
File Weight: 1
Added to Rotten Company: 8/20/2026
Conduct/Event period: 2008–March 24, 2014
Ongoing: No
Resolution status: Resolved
Resolution date: March 24, 2014
misconduct

Stryker Paid $911,219 to Resolve Allegations of Overbilling Federal Agencies

Summary

In 2014, Stryker Corporation paid $911,219 to resolve a False Claims Act lawsuit alleging that it and a distributor failed to disclose complete pricing and projected-sales information to government negotiators. The Justice Department said the alleged conduct allowed Stryker products to avoid heightened scrutiny under a Department of Veterans Affairs Federal Supply Schedule contract and resulted in federal agencies allegedly purchasing medical products at inflated prices. Stryker and the distributor resolved the case without admitting wrongdoing. Source: U.S. Department of Justice, Central District of California https://www.justice.gov/usao-cdca/pr/two-medical-product-companies-pay-more-1-million-resolve-false-claims-lawsuit-alleged

Evidence Weight
99.99
Severity: high
Recency Weight: 99.99481193494103
File Weight: 1