University of California Settles Conflict of Interest Suit For $10M

The Regents of the University of California, the university systems's governing body, have agreed to pay $10 million to settle a whistle-blower lawsuit alleging conflicts of interest concerning UCLA medical school physicians, according to a Los Angeles Times report.

The lawsuit was brought by Robert Pedowitz, MD, a former chairman of UCLA's medical school. In his lawsuit, he alleged physicians at the medical school had inappropriate financial ties to drug makers and medical device companies that could compromise patient care. One of the financial ties allegedly involved an orthopedic surgeon at the medical school who received $250,000 in consulting fees from Medtronic, according to the report.

The lawsuit alleged even after Dr. Pedowitz notified the medical school of the physicians' improper financial ties, the regents and university officials ignored the conflicts because UCLA was financially benefitting from them, according to the report.

After bringing attention to the conflicts of interest, Dr. Pedowitz alleged he was victimized and retaliated against by the medical school, according to the report.

Although the regents have agreed to pay Dr. Pedowitz $10 million to settle the lawsuit, UCLA and the regents have denied any wrongdoing. Dr. Pedowitz has also resigned from the faculty at UCLA as part of the settlement agreement, according to the report.  

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