Three Executives Fired from Orthofix Following Scandal

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Medical Devices

Early in 2023, Orthofix, a producer of biologics, bone development acceleration treatments, and orthopedic implants, purchased SeaSpine Holdings.

Following an investigation that found each executive to have displayed recurrent unprofessional and offensive behaviour that infringed upon numerous codes of conduct, the Chief Executive Officer, Valentine, Chief Financial Officer John Bostjancic, and Chief Legal Officer Patrick Keran have all been fired.

“The former executives’ affairs have no bearing on Orthofix’s operational outcomes, previously reported accounting records, or its business plan“

It designated Puja Leekha, head of ethics and compliance, as temporary chief legal officer, and Geoffrey Gillespie, head of corporate controll, as acting chief financial officer.

Burzik explained that “Orthofix’s core values are built around fostering, cultivating and preserving a culture that is respectful, and we do not condone harassing or inappropriate conduct or statements of any kind.”

The verdicts were deemed as an essential action “to ensure employees, investors, customers, and other stakeholders have confidence in the Company’s leaders.”

The former executives’ affairs have no bearing on Orthofix’s operational outcomes, previously reported accounting records, or its business plan, but “it’s hard to separate the public-facing management that investors knew well and the potential impact to the business,” an analyst wrote.

Orthofix announced that its board will start looking for long-term replacements right away.

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