Image Credit: Stimwave Technologies
Stimwave Technologies was founded by Laura Tyler Perryman in 2010 to develop wireless injectable neurostimulation devices.
The Freedom® stimulator is composed of a stimulating electrode array and a receiver element containing a dipole antenna and stimulation circuitry configured to receive energy from an externally-placed antenna through radiative coupling.
From: Vannemreddy, Prasad & Perryman, Laura & Janaswamy, Jyotsna & Slavin, Konstantin. (2019). Minimally Invasive Wireless Spinal Cord Stimulation: A Novel Approach for Refractory Angina in Women. Indian Journal of Cardiovascular Disease in Women WINCARS. 04. 10.1055/s-0039-3402829.
Great idea!
However, Stimwave’s problems started soon after the introduction of the StimQ peripheral nerve stimulation device. The issue was that physicians were having trouble implanting the “pink stylet” receiver component in certain patients because it was too long. This is when Laura Tyler Perryman ordered the creation of a “white stylet” “receiver” that could be cut to length by the physicians. The issue however was that the component was made of all plastic, with no circuitry inside, and misrepresented it to doctors as an alternative to the receiver component.
According to the U.S. Attorney prosecuting the case, Perryman directed Stimwave employees to vouch for the efficacy of the white stylet as a receiver and oversaw training for doctors suggesting the component was functional. Insurance companies, including Medicare, were charged $16,000 to $18,000 between 2017 through 2020 for the non-functional “receiver.”
After the fraud was exposed, Laura Tyler Perryman resigned as Stimwave’s CEO in November 2019. She was arrested in March 2023. In December, the U.S. Securities and Exchange Commission charged Perryman with defrauding investors out of about $41 million. This week (March 6, 2024), a jury unanimously found Perryman guilty of committing healthcare fraud and conspiracy to commit healthcare fraud and wire fraud. The count of healthcare fraud carries a maximum penalty of 10 years, and the count of conspiracy to commit healthcare and wire fraud carries a maximum sentence of 20 years in prison.
In July 2020 Stimwave recalled the device and in June 2022 filed for
Chapter 11 bankruptcy protection, sold most of its assets, and ceased its operations. In November 2022, Curonix of Pompano Beach, Florida completed the purchase of Stimwave Technologies’ assets and liabilities.