A Medical Device Daily

Oculus Innovative Sciences (Petaluma, California) reported that the U.S. District Court for the Northern District of California has awarded damages in the amount of $6.6 million to Oculus Innovative Sciences and entered judgment against defendant Nofil (Petaluma, California), finding it liable for breach of contract and misappropriation of Oculus’ intellectual property rights related to its Microcyn Technology.

“The court’s ruling and award of damages to Oculus is continued validation of our intellectual property rights,” said Hoji Alimi, Oculus founder and CEO. “The message here is that Oculus’ intellectual property rights are fully enforceable, and that when these are violated, we will move aggressively to protect and assert our rights worldwide.”

As disclosed in the company’s various filings with the SEC, Oculus filed suit on March 14, 2006, in the U.S. District Court for the Northern District of California against Nofil and its chief executive officer, Naoshi Kono, for breach of contract, misappropriation of trade secrets and trademark infringement. On Feb. 13, 2007, Nofil filed an answer and cross-complaint, and subsequently filed two amendments to the cross-complaint.

Last fall, the U.S. District Court for the Northern District of California issued a ruling affirming that the company’s intellectual property rights for the Microcyn Technology are enforceable (Medical Device Daily, Nov. 20, 2007).

Oculus develops products based on the Microcyn Technology platform, which is intended to help prevent and treat infections in chronic and acute wounds.

Assistant Attorney General Alice Fisher of the Criminal Division and U.S. Attorney R. Alexander Acosta of the Southern District of Florida reported that owners of nine separate Miami-based healthcare corporations have been sentenced to prison terms within the past two weeks.

Collectively, the nine defendants filed fraudulent claims with Medicare for $56.6 million worth of unnecessary durable medical equipment and infusion therapy.

Luis Soto, who was sentenced to 87 months in prison, owned and operated Ocean Medical Equipment, Adriana Medical Supply, Advance Medical Equipment, Family Health Medical Equipment, First AA Medical, KB Medical Services, Rossmary Medical Supplies, R&R Medical Equipment, Sagua Medical Supplies, Telimay Medical Service, West Side Medical, Future Medical Center, Siboney Medical Center, and Tampa Trauma.

The companies billed for items such as oxygen concentrators, nebulizers and wheelchairs that were never provided.

Other defendants included Noel Rodriguez, Rosabel Gonzalez, Christian Vasquez, Maria De La Serna, Ariel Betancourt, Jose Prieto, Armando Jorge Herrera, and Reinaldo Lopez.

In total, Soto, through his companies, was responsible for more than $47 million in false claims to Medicare. Soto pled guilty on Oct. 16, 2007.