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Federal Agents Raid Siemens Medical Solutions Offices in Malvern, PA

April 22, 2009 News 24 Comments


Federal agents from the Defense Criminal Investigations Service raided the offices of Siemens Medical Solutions in Malvern, PA today, according to a Philadephia TV station. Agents armed with search warrants secured employee workstations, seeking documents related to the company’s military contracts.

UPDATE: Inga contacted Siemens and received this response:

Statement Regarding Government Inspection at Malvern Facility of Siemens Medical Solutions USA, Inc.

Malvern, Penn., April 22, 2009 — Siemens Medical Solutions USA, Inc., the U.S. operation of Siemens Healthcare, has been served with a search warrant. Siemens Medical Solutions USA, Inc. has and will continue to cooperate fully with the Government’s investigation.

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Currently there are "24 comments" on this Article:

  1. Curious to know how this will impact us as customers if in deed all computer workstations have been siezed. What will happen related to support calls and open efforts

  2. I would think they should have secured the servers also and not just the workstations if they wanted to do a complete job and not just play out some type of plublicity stunt!

  3. Answer to concerned customer:

    – Customer support efforts will not be interrupted due to his investigation.

    Answer to Siemens Consultant

    – All Siemens Medical Employees in the USA have been instucted by the executive staff to not delete or modify any documents, emails or programs and to provide all requested access fro servers and workstations.

  4. I like how the Siemens spinners called it an “inspection,” conjuring up pictures of bored nerds in lab coats instead of agents forcing employees out and seizing PCs.

  5. Let me guess…what are the Feds to find at Siemens Medical Solutions HQ, Malvern, PA: A LOT of POWERPOINT PRESENTATIONS !

  6. Want to bet it’s related to how they “structure” their contracts and manage to get items customers haven’t paid for into their hands?

  7. I heard that they used ultraviolet lighting to do the search as many of the employees were reported to have siemens on their shirts and there was siemens on the walls and even on the front of the building.

  8. “Siemens Consultant Says:
    I would think they should have secured the servers also and not just the workstations if they wanted to do a complete job and not just play out some type of plublicity stunt!”

    You obviously, or are fortunate enough to, not have been involved in an FBI raid. Let me assure you, from experience, that they know what they are doing, know where it is, and are very thorough.

  9. Hmmm…last year Siemens AG pleaded guilty to paying $1.4 billion in bribes to win foreign contracts…Feds only confiscated files relating to one US government contract worth $200+ million…doesn’t seem that hard to figure out what they’re looking for…if that’s the case they should be hammered!

  10. It’s an entirely false rumor that all CMIOs who bought Siemens’ products were on the take! Entirely false and unfair. The data will show that far fewer than 65% received bribes.

  11. This is good news for Siemens. Really. Everyone’s going to be talking about the raid, the investigation to come, the potential for criminal charges and massive fines… in the meantime, everyone will stop talking about Soarian. The less said about Soarian the better.

    Seriously, this is a disaster in many ways, including the fact that the opportunity for Siemens to participate in any national health info network stuff with the Government has just evaporated. They might as well pull back all the folks they have in DC because Siemens won’t get #%$& from the government now.

  12. Sounds like or maybe I should say smells like stinky fish. Wasn’t it just announced the day before that G.E. And the government are now going to be huge partners in the wind generating realm? It was all over the news yesterday. G.E.also competes heavily in the medical side with Siemens. It looks like the government has picked their new partner and isn’t interested in a foreign company or capitalism. What was the government saying about the fact they wouldn’t practice protectionism? G.E. Is famous for being sore losers in bidding wars against any company and I’m sure they weren’t interested in losing out in the health info systems contracts that the U.S. Government is considering providing nationwide. My guess would be G.E. pushed the its not fair….WE are your partner now… crying button ….not a chance that it was coincidence. Can anyone say Salem, Massachusetts??

  13. To anonymous…I’m a cynic of gov’t myself, but I have a very good friend that is a criminal investigator with the DoD, and he is serious about his job and would never be pushed over by some bureaucrats with a special agenda. He travels the war torn mideast quite often following criminals and uncovering their crimes (as well as crimes in the US…didn’t see him in the photos posted). He would be deeply offended by your comments – he doesn’t put his life on the line for politicians in suits but for the love of his country (and good benefits lol). He’s a well educated lawyer who chose this profession because it was his dream job. They are very thorough, professional and will dig through dirty dumpsters in the middle of the night in search of evidence if needed.

  14. Just another example of “Change We Can Believe In???? (turn over the rock and presto…you will find GE and Govt.in bed with the snakes they are!). Time to wake up and connect the dots America! (before its too late)…………….

  15. Or how about this…. sound alot more plausable than some convaluted Govt scheme with GE. They just want what they were promised.

    A whistleblower’s lawsuit reportedly is the catalyst behind the U.S. Department of Defense’s (DoD) investigation at Siemens Healthcare’s Malvern, PA, headquarters this week.
    The Philadelphia Business Journal reported on April 23 that the civil suit was filed by Siemens’ employee William A. Thomas under the False Claims Act in U.S. District Court of the Virgin Islands in 2004 and was amended in January 2009.

    The lawsuit alleges that Siemens gave its corporate imaging customers larger discounts than the federal government, while telling the government that it was receiving Siemens’ best pricing.

    Investigators from the DoD’s Defense Criminal Investigative Service (DCIS) arrived at the company’s Malvern offices on the morning of April 22 to execute a search warrant, according to Ed Bradley, special agent in charge with the agency’s northeast field office in Philadelphia, in comments to AuntMinnie.com.

    Siemens Healthcare director of public relations Lance Longwell confirmed that DCIS investigators conducted a “limited search” of one floor of the Malvern building. Siemens asked employees who work near the search area to leave for the remainder of the day and to return tomorrow for a regular workday, Longwell said.

  16. Amazing how this company does business, and that businesses continue to buy their garbage. There is zero thought of the customer after the sale, much less any real problem-fixing which isn’t mandated by the FDA.

  17. This may be a government plot to defame Siemens and may be get out of a contract with us. Hmmm…

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