Purdue Pharma Pleads Guilty, Will Pay $8.3B To Settle Criminal Charges Over Opioid Sales
The massive settlement deal also covers civil cases against the maker of the painkiller OxyContin.
The Washington Post:
Purdue Pharma Pleads Guilty To Federal Criminal Charges
The Justice Department announced a historic $8.3 billion settlement Wednesday with OxyContin-maker Purdue Pharma, capping a long-running federal investigation into the company that, for critics, became a leading symbol of corporations profiting from America’s deadly addiction to opioid painkillers. As part of the deal — the largest such settlement ever reached with a pharmaceutical company, officials said — Purdue Pharma agreed to plead guilty to three felonies. (Kornfield, Rowland, Bernstein and Barrett, 10/21)
Stat:
Purdue To Plead Guilty To Felony Charges As Part Of $8.3B Opioid Settlement
As part of the deal, Purdue admitted to lying to the Drug Enforcement Administration about a program to monitor diversion by physicians and reporting misleading information to the agency in order to boost manufacturing quotas, according to the plea deal. Purdue also admitted to violating anti-kickback laws in two ways: by paying doctors — through speaker programs — to write more prescriptions and also paying an electronic health records company to influence prescribing and ordering (that company reached a $145 million settlement earlier this year). (Silverman, 10/21)
The New York Times:
Purdue Pharma Pleads Guilty To Criminal Charges For Opioid Sales
Members of the Sackler family said in a statement that they “acted ethically and lawfully.” Issued on behalf of members who had served on the company’s board, the family statement added: “The board relied on repeated and consistent assurances from Purdue’s management team that the company was meeting all legal requirements. ”OxyContin, which came on the market in the mid-90s, is seen as an early, ferocious driver of the opioid epidemic and Purdue is regarded as the architect of muscular, misleading drug marketing. (Hoffman and Benner, 10/21)
CNN:
Purdue Pharma Pleads Guilty To Federal Criminal Charges Related To Opioid Crisis
The company doesn't have $8 billion in cash available to pay the fines. So Purdue will be dissolved as part of the settlement, and its assets will be used to create a new "public benefit company" controlled by a trust or similar entity designed for the benefit of the American public. (Isidore, 10/21)
AP:
OxyContin Maker Purdue Pharma To Plead To 3 Criminal Charges
The deal does not release any of the company’s executives or owners — members of the wealthy Sackler family — from criminal liability, and a criminal investigation is ongoing. Family members said they acted “ethically and lawfully,” but some state attorneys general said the agreement fails to hold the Sacklers accountable. (Balsamo and Mulvihill, 10/21)
The Wall Street Journal:
Purdue Pharma Reaches $8.34 Billion Settlement Over Opioid Probes
Steve Miller, the chairman of Purdue’s board, said the company regrets and accepts responsibility for the misconduct cited by prosecutors, which includes illegal kickbacks and misrepresentations made to the Drug Enforcement Administration. “Purdue today is a very different company,” he said. “We have made significant changes to our leadership, operations, governance, and oversight.” (Randazzo, 10/21)
In other news about the opioid crisis —
Modern Healthcare:
Walmart Must Disclose Opioid Documentation, Court Orders
A West Virginia court ordered Walmart to disclose internal opioid dispensing documentation supplied to state and federal agencies investigating the retail giant's alleged role in the opioid epidemic. The court rebuffed Walmart's arguments Tuesday, some of which included that its national dispensing practices were not relevant to West Virginia, the request was overly burdensome and that it couldn't reveal the documents because of an ongoing federal investigation. (Kacik, 10/21)
