It was reported today that Wright Medical announced that it had accepted the resignation of CEO Gary Henley and terminated its CTO Frank Bono. The resignation of Gary Henley comes at a time that the company's compliance program is being reviewed. As for Frank Bono, well it seems that Mr. Bono, no relation to the famous Irish Rocker, was terminated for failing to exhibit the appropriate regard for Wright's ongoing compliance program with the Department of Justice.
Wright has named David D. Stevens as the interim president. Wright Medical had paid the U.S. government $7.9 million to settle false claims allegations and entered into a Deferred Protection Agreement with the DOJ in the fourth quarter in 2010 pertaining to allegations of improper consulting agreements from 2002-2007. The DPA is contingent on updating company compliance policies and completing a 1 year monitoring program. You know what Bono sang;
"Early morning, April 4th shots ring out in the Memphis sky, free at last they took your life, they could not take your pride............"
On a colder front, it was reported a few weeks back that an Orchard Park man admitted to stealing medical supplies and equipment from a local hospital and the company he worked for Synthes. Joseph Raymond, 39, pleaded guilty to grand larceny and other charges before the Honorable Michael Petruszka of Erie County.
Mr. Raymond admitted to taking nearly $2 million worth of items from both South Mercy Hospital and Synthes where he worked as a sales rep. The thefts took place between 2002 and 2010. In addition, Mr. Raymond failed to report income from the thefts, the result, Judge Petruszka could sentence Raymond to 26 years in the slammer. One has to wonder what type of oversight exists at hospitals when someone has the ability to steal at least $250K worth of implants without anyone picking up on it? If Mr. Raymond did this on his own volition, he will pay the price, but if he knows otherwise, now may be the time to start singing like Luciano Pavarotti, I'm sure there are a few nervous people out there. Mr. Raymond will have plenty of time to sing everyday,
"As I went down to the river to pray, studying about that good old way, and who shall wear that starry crown, Good Lord show me the way."
Bono has quite a history in spine. He was a VP with Depuy, went to Spine Wave around '03 and then was with MSD before turning up at Wright.
ReplyDeleteI hate to put a cafepharma link on this site, but it's interesting to see how Wright Medical is playing in the POD arena and cutting out reps...
ReplyDeletehttp://www.cafepharma.com/boards/showthread.php?p=3885802
whistleblower-claims.com
ReplyDeleteNote to the DOJ,,, Perhaps you should focus your efforts here:
ReplyDelete2560 General Armistead Avenue
Audubon, PA 19403
Synthes dude must have been trained on the stock and hock program brought to the company by Tricky Ricky
ReplyDeleteWhat few comments so far, is the whole community dumbfounded, or just plain scared? Here is a board which appears more diligent than the DOJ, but does anyone have any idea what the alleged transgressions are that caused all this? Depending on what they are, there could be many more individuals looking for work.
ReplyDeletePlain scared, trauma shenanigans at its best. No wonder Synthes is the market leader in trauma.
ReplyDeleteTough way to explain to your wife that all you were doing was trying to hit your Synthes quota, 26 years is a long, long, long, long, long, long time. Leaving the country may be an option. No wonder hospitals are beating the snot out of medical device companies.
ReplyDeleteWasn't this a Gennett tactic when he was at Ethicon, hiding his sutures in the ceiling. One has to feel sorry for Joseph Raymond, drank the holy water, now he has to pay. Looks like growth at Synthes will take a hit, the party's over. Orsinger better start a tour of the country explaining how they continue to grow.
ReplyDeleteI saw the future, generic trauma implants, this business is a beautiful thing.
ReplyDeleteBono and Henley are being hung out as sacraficial lambs by a board that is looking to make a show of being tough. How else can you discribe the agressive tone of the press release when niether is acused of any wrong doing.
ReplyDeleteGood luck finding people willing to take those roles on.
@ 11:04 - being fired for “failing to exhibit appropriate regard for the company’s ongoing compliance program” isn't being accused of any wrong doing? Short of outright skimming the till, I'm not sure what is?
ReplyDelete@ 11:02
ReplyDeleteDefine "appropriate regard"
@ 2:09. Don't need to, but it's obviously an accusation of wrong doing by the company writing the press release and merits the less-than-flowery tone.
ReplyDelete