FOLLOW US

Tue

July 14, 2026

America November 18, 2025 4 mins read

DOJ Unveils b. braun $38.5m Settlement Over Allegedly Faulty Knee Implant and False Claims

America ı By Rihem Akkouche

0 Comments

b. braun $38.5m settlement

The U.S. Department of Justice on Monday revealed a $38.5 million settlement resolving accusations that a subsidiary of German medical device titan B. Braun Melsungen AG sold a knee implant it allegedly knew was prone to early failure — a product that prosecutors say ultimately triggered false claims submitted to Medicare and Medicaid.

Deal Ends Allegations Over VEGA System Knee Implant

B. Braun’s subsidiary Aesculap Implant Systems agreed to the multimillion-dollar payout to close out the government’s claims tied to its VEGA System knee replacement device. The settlement arrives roughly one year after Aesculap halted U.S. sales of the implant and its related product line.

The DOJ also entered into a nonprosecution agreement, declining to criminally charge Aesculap over the sale of two medical devices allegedly marketed without FDA clearance — an issue tied to a former employee who forged federal authorization documents.

“Devices Must Not Mislead,” Prosecutor Says

“A company that knows its product has a propensity to prematurely fail must not mislead doctors or government regulators,” U.S. Attorney David Metcalf of the Eastern District of Pennsylvania said Monday. “Federal programs should not be forced to pay for devices that carry undue risk and may require painful, expensive corrective surgeries.”

B. Braun attorney Christiana Jacxsens, serving as corporate vice president and general counsel for its U.S. life sciences arm, welcomed the agreement, calling it a long-overdue closure to “these longstanding matters.”

Whistleblower Suit Triggered Years-Long Investigation

The dispute traces back to 2017, when two distributors of Aesculap orthopedic devices filed a whistleblower suit on behalf of federal and state governments. Their complaint alleged that as early as December 2013, the company knew the VEGA System implant was failing to properly adhere to bone cement, causing hardware to loosen and forcing patients into revision surgeries.

The relators reported receiving surgeon complaints, but say Aesculap either failed to submit adverse event reports to the FDA or sent reports containing incorrect information. According to the suit, Aesculap sought permission from B. Braun to modify the implant to fix the problem but was denied.

B. Braun did not immediately respond Monday to questions regarding those allegations.

Federal Intervention: False Claims and Kickback Concerns

Upon stepping into the case, the U.S. government alleged that from 2010 to 2023, Aesculap continued marketing and selling implants it knew would fail at higher-than-acceptable rates — rendering them neither “reasonable nor necessary” for knee replacement surgeries and thus producing false claims to federal healthcare programs.

Prosecutors also claim the subsidiary violated the Anti-Kickback Statute, alleging it provided an orthopedic surgeon experiencing complications with the implant free international travel and other improper benefits to encourage continued recommendations.

Aesculap Denies Wrongdoing, Defends Its Device

In a Monday statement, Aesculap said concerns surrounding its VEGA System were “largely addressed” through prior product liability litigation resulting in more than half the cases being dismissed. The company insists it did not knowingly cause false claims and settled solely to avoid protracted litigation.

The VEGA System was never recalled, Aesculap emphasized, noting it has been used successfully in “thousands of patients” since its 2010 launch. The company said implant loosening can stem from numerous factors, including surgical technique, and that it updated guidance and training in 2018–2019 for proper cementing procedures.

Former Employee Sentenced in FDA Forgery Scheme

The DOJ added that its agreement with Aesculap also resolves issues involving two devices sold without FDA clearance — a result of a former employee forging approval documents. That employee pled guilty last year and received one year in prison plus a year of supervised release.

Aesculap said no patient injuries were linked to those devices and that it recalled them, reimbursed customers, and later obtained proper FDA authorization.

Attorneys on the Case

The federal government is represented by Max J. Goldman and Ross S. Goldstein of the DOJ’s Consumer Protection Branch, and Assistant U.S. Attorney M. Beth Leahy.

The relators are represented by Anthony G. Buzbee of The Buzbee Law Firm.

Aesculap and B. Braun are represented by John Huber of Greenberg Traurig LLP; Carolyn McNiven and Jessica Natali of Faegre Drinker Biddle & Reath LLP; and Howard Young, Scott Memmott, and Dennis Gucciardo of Morgan Lewis & Bockius LLP.

Previous Article

Judge Gives Early Approval to Ryvyl Deal Resolving Derivative Claims Over Accounting Woes

Read More
4366 Posts

Rihem Akkouche

Rihem Akkouche is a passionate journalist dedicated to shedding light on compelling stories, sparking conversations, and fostering a more informed world.

Discussion

No comments yet. Be the first to join the discussion!

Don’t Miss It
America July 12, 2026
two killed in Toronto After Deadly street festival shooting
By – Rihem Akkouche
America July 12, 2026
Elephant Fire burns 4500 acres in Sierra County
By – Rihem Akkouche
Arizona January 11, 2025
Kelly Warner Law Firm Blames USA…

In what appears as a desperate attempt to defend multiple…

By – USA Herald
Arizona January 4, 2025
Aaron Kelly Law Firm Resorts To…

Attorney Aaron Kelly and his law partner Daniel Warner are…

By – Jeff Watterson
Arizona December 12, 2024
Arizona Bar Opens Investigation on Attorney…

USA Herald recently reported on a developing story involving Attorneys…

By – Paul O'Neal
America July 11, 2026
1 dead After fire at Davis…

A Saturday morning that began like any other in South…

By – Rihem Akkouche
America July 11, 2026
Apple Sues OpenAI Over Trade Secrets…

The partnership that placed ChatGPT inside hundreds of millions of…

By – Rihem Akkouche
America July 11, 2026
NYT Air Force One Subpoena Targets…

They came on a Friday evening, to the homes of…

By – Rihem Akkouche
America July 11, 2026
Gordie Howe Bridge to Open on…

Named for a hockey legend who won four Stanley Cups…

By – Rihem Akkouche
America July 11, 2026
Teen Football Player’s Death on Uninhabited…

Christine and Elmore Wonsley are not sleeping. They cannot. A…

By – Rihem Akkouche
America July 11, 2026
Hundreds Of People at Summer Camp…

The water came faster than the roads could handle and…

By – Rihem Akkouche
America July 11, 2026
Hundreds Of People at Summer Camp…

The water came faster than the roads could handle and…

By – Rihem Akkouche
America July 11, 2026
UFC Event Allegedly Targeted in White…

WASHINGTON, D.C. — A historic UFC Event held on the…

By – Jackie Allen
America July 10, 2026
Russia Sanctions Bill Gains BiPartisan as…

WASHINGTON, D.C. — Russia Sanctions legislation moved closer to becoming…

By – Jackie Allen
America July 10, 2026
Manhattanhenge 2026: Final Summer Sunset Alignment…

NEW YORK — Manhattanhenge is making its final appearance of…

By – Jackie Allen
America July 10, 2026
Jared Isaacman Says NASA Has Unexplained…

WASHINGTON, D.C. — Jared Isaacman, the administrator of NASA, says…

By – Jackie Allen
America July 9, 2026
Erika Kirk Seeks Public Release of…

Erika Kirk, the widow of Turning Point USA co-founder Charlie…

By – Jackie Allen
America July 9, 2026
Erika Kirk Seeks Public Release of…

Erika Kirk, the widow of Turning Point USA co-founder Charlie…

By – Jackie Allen
America July 9, 2026
Bonnie Tyler Remembered as Legendary Welsh…

Bonnie Tyler, the Welsh singer whose unmistakable raspy voice powered…

By – Jackie Allen
America July 9, 2026
Assault on Iran Escalates as U.S.…

The Assault on Iran intensified after the United States launched…

By – Jackie Allen
America July 9, 2026
Broadcom Deal: Apple Commits More Than…

Apple is dramatically expanding its investment in American semiconductor manufacturing…

By – Jackie Allen
America July 8, 2026
Arranged Marriage Ends in Tragedy: Amazon…

An Arranged Marriage that began in the summer of 2025…

By – Jackie Allen
America July 8, 2026
Forensic Scientist Henry Lee’s Final Interview…

A legendary Forensic Scientist whose testimony influenced some of America’s…

By – Jackie Allen
America July 8, 2026
Forensic Scientist Henry Lee’s Final Interview…

A legendary Forensic Scientist whose testimony influenced some of America’s…

By – Jackie Allen
America July 6, 2026
Accused of Rape:  Graham Platner Denies…

Accused of Rape, Maine Democratic U.S. Senate candidate Graham Platner…

By – Jackie Allen
America July 6, 2026
AI Regulation Debate Intensifies After Peter…

 The global debate over AI Regulation took a dramatic turn…

By – Jackie Allen
America July 5, 2026
California Chaos: Fourth of July Celebrations…

California Chaos unfolded across parts of Southern California during the…

By – Jackie Allen
America July 5, 2026
Paul Pelosi Faces Charge After Alleged…

Paul Pelosi, the husband of former House Speaker Nancy Pelosi,…

By – Jackie Allen
America July 4, 2026
Beach Closures Expand Across Long Island…

Beach Closures were spread across parts of New York just…

By – Jackie Allen
America July 4, 2026
Beach Closures Expand Across Long Island…

Beach Closures were spread across parts of New York just…

By – Jackie Allen
America July 3, 2026
Mars Rover Images Lead to Debates…

A new Mars Rover image captured by NASA’s Curiosity mission…

By – Jackie Allen
America July 3, 2026
Taylor Swift and Travis Kelce’s Star-Studded…

Taylor Swift and Travis Kelce’s highly anticipated wedding is finally…

By – Rihem Akkouche
America July 3, 2026
Federal Judge Sends Bad Bunny Reggaeton…

INSIDE THIS REPORT A federal judge denied summary judgment to…

By – Samuel Lopez
America July 3, 2026
Mike Rowe Sues Discovery for $2…

Inside This Report Mike Rowe is suing Discovery, claiming the…

By – Samuel Lopez
America July 3, 2026
7-Eleven Sues Nike Over Alleged Air…

INSIDE THIS REPORT Nike faces a federal trademark lawsuit over…

By – Samuel Lopez
Health July 2, 2026
The Hidden Science Behind Why Your…

For millions of people, the first conscious act of the…

By – Tyler Brooks
Health July 2, 2026
The High Cost of the Infinite…

A significant legal chapter is closing for one of the…

By – Tyler Brooks
Health July 2, 2026
Kentucky Medicaid Alert How The Upcoming…

A significant change is arriving for thousands of Kentucky residents…

By – Tyler Brooks
Health June 29, 2026
Everything You Need to Know About…

As the calendar turns to July 1, residents of Georgia…

By – Tyler Brooks
Breaking News June 26, 2026
Trump Seeks $1.4 Billion as Congo…

The Trump Ebola funding request would provide more than $1.4…

By – Michallie Harrison
Health June 25, 2026
Temperatures in France were higher than…

The images coming out of Europe this week are nothing…

By – Tyler Brooks
America July 2, 2026
Taylor Swift Wedding Reports Claim Private…

Taylor Swift Wedding speculation intensified after reports claimed that pop…

By – Jackie Allen
High Profile Court Cases July 2, 2026
Justice Served as Former NFL Scout…

The Nashville courtroom fell silent this Wednesday as a jury…

By – Tyler Brooks
America June 29, 2026
Stonewall Riots: An Uprising That Changed…

The Stonewall Riots marked one of the most significant turning…

By – Jackie Allen
Sports June 26, 2026
USMNT Lost to Turkey at 90+8.…

Kaan Ayhan’s goal came in the 90th minute, plus eight.…

By – Nicolas Carreno
Entertainment June 25, 2026
Tears, Goals, and the Siuuu: IShowSpeed’s…

The 2026 FIFA World Cup has been a rollercoaster of…

By – Tyler Brooks
America June 22, 2026
World Cup History Made as Lionel…

World Cup history was made Monday afternoon in Arlington, Texas,…

By – Jackie Allen

No posts found.

No posts found.

Signup for the USA Herald
exclusive Newsletter