PSD Helps Client Facing Anti-Kickback Charges Avoid Jail
After a series of victories and developments that resulted in the dismissal of each and every charge of money laundering, violations of the Anti-Kickback Statute, and conspiracy charges, PSD’s client, on August 6, 2025, the CEO of a medical device company known as SpineFrontier, received a sentence of time served of one day, followed by 12 months of supervised release. The CEO resolved the matter, pending in the United States District Court for the District of Massachusetts, for a single reduced charge of making one false statement to CMS in which a payment was classified as a consulting payment when consulting services had not been received. Federal prosecutors lost their arguments to the Court seeking the maximum term of incarceration under the sentencing guidelines, focusing their arguments on the totality of problems in the health care industry rather than on the limited evidence in the record against the CEO. The proceedings exhausted years of efforts by the government involving more than a half-dozen present and former federal prosecutors who faced several motions during the course of the case based on grounds of government misconduct.
Despite the dismissed charges in the Indictment and a Superseding Indictment having exposed defendants and their company to decades of incarceration and tens of millions of dollars in fines, the Court imposed only a $9,500 fine on the CEO. All charges against SpineFrontier were dismissed.
