Sunrise to launch new homecare bed
LONGMONT, Colo. - Sunrise Medical is preparing a July launch for a new homecare bed to be marketed by its Guardian division. Although Sunrise currently manufactures two other beds, neither caught on as a flagship for an HME's semi-electric rental fleet. "We didn't provide the staples," said Lori Thompson, Sunrise Medical's directorof marketing. "We're changing that strategy completely."
Red Line settles charges
GOLDEN VALLEY, Minn. - Red Line HealthCare has reached a $6.1 million settlement with the U.S. Attorney's Office in Minneapolis over allegations that the company systematically filed claims to Medicare for feeding tubes without having doctors' prescriptions for them, according to a May 9 report in the St. Paul Pioneer Press. The whistleblower lawsuit said that Red Line began filing the false claims in 1988 and that the massive overpayments continued for a decade. Brought to suit under the False Claims Act, the suit also alleged that Red Line routinely overstated costs and lured customers by telling them they didn't have to pay the 20% co-pay.
ResMed buys motor source for $32M
SAN DIEGO - ResMed has acquired Servo Magnetics of Canoga Park, Calif., for approximately $32 million. SMI, with revenues of $15 million for the 2001 calendar year, designs, manufactures and distributes the high-quality electric motors used in ResMed's flow generator systems, as well as in the aerospace and data storage industries. SMI has been ResMed's supplier of CPAP motors since October 1997.