Venture Capital Funded Startup #BoardWhores: Procept BioRobotics Ties to Healthcare Fraud
May 23, 2016
This site often discusses the dangers of venture capital funded healthcare startup #BoardWhores that leads to venture capital funded startup #GodsOfFrauds, which costs employees their jobs, consumers and patients their health or lives and long-term shareholders and taxpayers billions, all while the VCs are encouraged, replicate and rewarded for this cycle of fraud without any accountability known as The Sociopathic Business Model™.
This Case Study will look at Procept BioRobotics, namely for two people associated with the company and their past associations with other venture capital firms and or startups that they’ve left off their illustrious company website bios. Rodney Perkins, who serves as the company’s co-founder and Chairman of the Board and Matthew (Matt) Salkeld, who despite his lack of spine, is Procept BioRobotics’ Vice President of Sales and Marketing.
Dr. Rodney Perkins’ name may be familiar to frequent readers of this site or those familiar with venture capital firms New Enterprise Associates (NEA) & Johnson & Johnson Development Corporation (JJDC) which created startup EarLens, that Perkins co-founded in 2005. Oddly, that information is inconsistently and contradicting Perkins’ Procept BioRobotic website bio, where that information is inexplicably missing. The manipulation of facts is a trigger for The Sociopathic Business Model™ and should make potential employees, patients, consumers, or long-term investors question, and certainly media question why that information along with Perkins’ seat as Founder, CMO & Board Member of EarLens is deliberately omitted from his Procept BioRobotics bio. That’s certainly a red flag, as founders, executives and board members love to tell people how many different companies they’ve founded (serial entrepreneur), executive positions they’ve held, or boards they’ve chaired or sat on in their lifetime, daily if not hourly.
The current EarLens CEO, William (Bill) Facteau was arrested & federally indicted on healthcare fraud charges in April 2015 and awaiting his criminal trial, June 6, 2016, for previous actions as CEO at NEA & JJDC funded, ExploraMed incubated, startup Acclarent. Perkins and Facteau share more than just ties to NEA, JJDC, and ExploraMed, they also share ties with white collar crime law firm Wilson, Sonsini, Goodrich & Rosati who bestowed each with the Phoenix Hall of Fame Innovation Award. Interestingly, Wilson Sonsini filed healthcare fraud Acclarent’s IPO in 2008, retracted it later in 2008 and in the same year awarded Facteau the Phoenix Hall of Fame Innovation Award. Wilson Sonsini also oversaw startup Acclarent’s $785 million acquisition to Johnson & Johnson’s Ethicon in 2010 (a vc-funded startup that’s chronically underperformed post acquisition due to venture capital funded fraud) and are currently, in 2016, defending Facteau in his criminal trial against the Department of Justice. Is that just job security for Wilson Sonsini or is that a conflict of interest for taxpayers?
— KillingMyCareer (@MelaynaLokosky) March 17, 2016
White collar law firm, Wilson, Sonsini, Goodrich & Rosati, frequent readers of this site (as well as EarLens) blocked a venture capital funded healthcare whistleblower (me) on Twitter, which again should be a red flag to potential employees, consumers, long-term shareholders, taxpayers, SEC and DOJ. Perkins & Facteau also have something else in common, Dr. Joshua (Josh) Makower, NEA general partner, ExploraMed founder who incubated and co-founded startup Acclarent and incubated and likely co-founded EarLens with Perkins. Facteau is the perfect venture capital funded startup CEO, or CEnO, in fact he’s the type the industry grooms, he’s underqualified, easily manipulated and eager to prove his worth which included a willingness to committing healthcare fraud on behalf of venture capitalists; and, if that’s not evident, despite facing jail, he’s crawled back into bed with the same venture capitalists NEA & JJDC*, the same ExploraMed incubator and the person that links it all togehter, Josh Makower. Makower’s messes must be music to Wilson Sonsini’s questionable ears.
My professional involvement with this sordid group of #GodsOfFrauds is well documented on this site; and, few things will bring such pleasure as dragging the slinking away from accountability, slimy, spineless Matthew (Matt) Salkeld back into the Acclarent fraud, who despite his glossed over bio on Procept BioRobotics’ website, threatened and intimidated employees into selling the Stratus Microflow Spacer off-label or face wrongful termination.
Allow me to give context to that threat of wrongful termination. Despite the entire company underperforming (less than 10 people made quota out of roughly 250 reps in 2010) due to false projections to give the appearance of hypergrowth to achieve the overvaluation and sell the company at 7 times the venture capitalists original investment, I was singled out for recognizing this pattern and showing that our sales were not sustainable because they were fraudulent and that reps were unfairly being punished for the greed of venture capitalists and pathological mismanagement from executives.
It was easier to get rid of the person threatening to expose the truth; and, that’s what Matt Salked did on January 4, 2011, when he wrongfully terminated me*; but, not before securing his place in Johnson & Johnson’s Fraud Hall of Shame. November 2011, Johnson & Johnson decided to relieve then Acclarent CEO William (Bill) Facteau and VP of Sales & Marketing Patrick (Pat) Fabian from their contracts early which made room for Matthew (Matt) Salkeld to get promoted into Fabian’s newly vacated position.
Again, Facteau and Fabian are facing jail time; and, since Johnson & Johnson fed these executives to the feds on a silver platter, Salkeld thought he could slink around the industry without accountability. The three of these men should all be in the same sinking boat; but, as The Sociopathic Business Model™ points out employees are accomplices until they are victims. Johnson & Johnson eventually relieved Salkeld of his duties after they got what they needed from him; but, as you can see, it’s just more encouraging, replicating and rewarding unethical and or illegal behavior.
I don’t care what Procept BioRobotics does because I know enough about the company to know I would never invest my time as an employee, trust this company as a patient and would never invest in this company as a long-term shareholder for an IPO or acquisition. I have comfort in knowing what feds learned from fraud at Acclarent which stopped future fraud at venture capital funded startup Theranos should be guide, in that, by negative association to unethical and illegal illegal activity Procept BioRobitics is everything that’s wrong with the corrupt venture capital funded startup industry.
It’s up to each person reading, based on facts, to make the best decisions personally or professionally.
Diversity (?) at Procept BioRobotics:
Board: Eight men v. Zero women
Management: Four Men v One Woman
The real reason Silicon Valley doesn’t want women in venture capital or in executive positions at startups is that women are more likely to report fraud; and, since a large majority of venture capital is funding startup fraud, they don’t want women there to report it; and, I should know since I killed my career over it.
Procept BioRobotics via CrunchBase
*NEA and JJDC were the two largest VCs who funded ExploraMed Incubated startup Acclarent.