Post by vaijon on May 19, 2015 8:19:00 GMT -5
Ok, here's something for you folks to think about on the purchase of equipment.
Based upon what I'm reading from folks here is that MannKind will purchase hospital equipment to be used specifically for prescribing Afrezza. I don't believe that you can use "quid pro quo" for prescriptions. I worked for a medical device company in the past and we couldn't give away product to doctors as it would constitute unfair competitive advantage. I understand that Pharma companies can give sample prescriptions under the rule that they are given with no strings attached (along with a whole host of rules). The purchase of a medical device for the clinics could be seen as an unfair competitive practice given that MNKD isn't in the Medical Device industry. Think about it, If I contributed to your purchase of other essential medical equipment, wouldn't that create a sense of obligation for the doctor or clinic? Believe it or not, these matters are watched quite closely.
For an example of items in a Code of Conduct see here:
www.djoglobal.com/sites/default/files/code_of_conduct.pdf
Here is a definition of the Anti-Kickback statute:
"The federal Anti-Kickback Statute (“Anti-Kickback Statute”) is a criminal statute that prohibits the exchange (or offer to exchange), of anything of value, in an effort to induce (or reward) the referral of federal health care program business. See 42 U.S.C. § 1320a-7b."
Notice the phrase "anything of value". It doesn't need to be money. Lastly, A great many patients are using Medicare and hence the Federal rules apply to reimbursements for amounts billed to Medicare providers.
Just something to think about!
Thanks JPG. Unfortunately, I wasn't able to listen in, so I'm reading folks comments. Can anyone give me the "readers digest" version of their point on the potential equipment purchase?