Five Charged in Queensland Medical Device Kickback Scheme Investigation
Five individuals have been charged following an investigation by the Queensland Crime and Corruption Commission (CCC) and the Queensland Office of the Health Ombudsman into an alleged medical device kickback scheme. The investigation, codenamed 'Barzona', focuses on undisclosed payments for the use of surgical devices in public hospitals, with alleged offenses occurring between 2016 and 2019. Among those charged are two surgeons, a medical device company director, and a finance manager.
Investigation Overview
The Queensland Crime and Corruption Commission (CCC), collaborating with the Queensland Office of the Health Ombudsman, announced charges in December as part of their 'Barzona' investigation. The probe targets an alleged scheme involving representatives from a medical device company making undisclosed payments to public officers in exchange for using their devices in public hospitals.
The probe targets an alleged scheme involving representatives from a medical device company making undisclosed payments to public officers in exchange for using their devices in public hospitals.
It is also alleged that public officers failed to declare conflicts of interest to Queensland Health regarding these payments and their involvement with the company. The investigation specifically pertains to the use of surgical devices at Princess Alexandra Hospital and the Royal Brisbane and Women's Hospital between 2016 and 2019.
Individuals Charged and Allegations
Among those facing charges are:
Dr. Richard William Laherty
Richard William Laherty, 53, a Brisbane-based neurosurgeon specializing in spinal surgery, faces charges including official corruption, misconduct in public office, and offenses relating to misleading financial documents.
Allegations include receiving payments from MediVance, a medical device company, for using its devices during operations. He is also alleged to have been a part-owner of MediVance and to have failed to declare this conflict of interest.
Court documents further allege he provided false statements to health investigators, claiming payments were for camera equipment, and omitted that Rika Investments, where he was a director, received a 20% margin from products he implanted from MediVance. Dr. Laherty is also listed as a senior lecturer at the University of Queensland's medical school.
Dr. Dihan Taranga Aponso
Dihan Taranga Aponso, a surgeon, is charged with corruption and misconduct in public office. It is alleged that Dr. Aponso received payments from MediVance for using its devices at public hospitals and failed to declare these payments. He is further accused of gaining benefits for Qld Spine Research Foundation and DPTM Qld Pty Ltd.
Elliott Charles Lacaze
Elliott Charles Lacaze, identified as a director of the medical device company MediVance, faces charges including attempted fraud, dishonestly gaining benefit as a director of a corporation, and giving benefit to a public officer. He is accused of dishonestly gaining business for himself and two others to the value of approximately $1.7 million, with additional fraud offenses totaling over $1 million.
Alana Clayton
Alana Clayton, identified as a finance manager, has been charged with two counts each of fraud and official corruption. Court documents allege Ms. Clayton, along with two other men, including the director of MediVance, corruptly provided money to two surgeons. The total amount of dishonestly obtained business by Ms. Clayton and the two others is stated to have exceeded $2.2 million.
The medical devices involved in the alleged scheme reportedly included screws, rods, and surgical implants supplied by MediVance (also referred to as Medivance).
Court Proceedings
Dr. Laherty, Dr. Aponso, Mr. Lacaze, and Ms. Clayton have appeared in Brisbane Magistrates Court. All defendants had their bail continued, and their cases were adjourned to February 16. Mr. Laherty, Mr. Aponso, and Mr. Lacaze declined to comment outside court.
Related Information
The CCC previously announced that four individuals had been charged in connection with Investigation Barzona, with a fifth arrest warrant issued. Ms. Clayton was identified as one of four individuals charged last month. Health Minister Tim Nicholls has indicated that actions have been taken to address the alleged incidents.
In a separate but related matter, Dr. Laherty's name was previously mentioned in a Brisbane Magistrates Court sentencing in April of the previous year. Colleague Alex Koefman, also a neurosurgeon, pleaded guilty in December 2023 to disclosing confidential information to Dr. Laherty, who was a target of the investigation. Dr. Koefman, who was not accused of involvement in the kickback scheme and has not been charged in the current matters, was fined $2,500 for breaching confidentiality.