Guidant brass rebuked for lax oversight.

Byline: Jeff Swiatek

Mar. 22--A panel of outside experts faulted Guidant Corp.'s Indianapolis corporate brass for hands-off management of its embattled Minnesota-based cardiac rhythm division, which was criticized last year for not telling doctors about defects in some of the heart devices it makes.

In a lengthy and at times bluntly worded report issued Tuesday, the panel called on the global medical device maker to overhaul the way it handles product problems in the defibrillator and pacemaker business.

One of the recommendations was for corporate headquarters to take a hands-on role in running the St. Paul-based division.

Guidant issued an immediate endorsement of the panel's recommendations, but it remains to be seen what that means. The report's release comes on the eve of Guidant's purchase by rival Boston Scientific Corp. The …