Insurer Sues Medtronic Over Bone-Growth Drug
Humana Inc. alleges the device maker violated federal racketeering statutes by conspiring with prominent physicians to promote unapproved uses of the drug, reports The Wall Street Journal. Meanwhile, Ventas, the nation's biggest health care real estate investment trust, said Monday it had agreed to acquire the American Realty Capital Healthcare Trust for $2.6 billion.
The Wall Street Journal: Humana Files RICO Claim Over Medtronic Bone Drug
Health insurer Humana Inc. is alleging that medical-device maker Medtronic Inc. violated the federal racketeering statute by conspiring with prominent physicians to promote unapproved uses of its bone-growth drug, according to a lawsuit Humana filed in federal court last week. Humana alleges that Medtronic paid $210 million to prominent physicians who advocated the drug's use in certain neck and spine surgeries that hadn't been approved by the U.S. Food and Drug Administration, according to Humana's complaint (Walker, 6/2).
The New York Times: Ventas To Buy American Realty Capital Healthcare For $2.6 Billion
Ventas, the nation’s biggest health care real estate investment trust, said on Monday that it had agreed to acquire the American Realty Capital Healthcare Trust for $2.6 billion in stock and cash. At $11.33 a share, the offer is 14 percent above the Friday closing stock of the company, known as A.R.C. Healthcare (6/2).