Purdue Pharma settles opioid lawsuit for $270m
Purdue Pharma, the drug-maker owned by the billionaire Sackler family, has reached a $270m settlement in a lawsuit which claimed its opioids contributed to the deaths of thousands of people.
The deal with Oklahoma is the first settlement the US firm has struck amid some 2,000 other lawsuits it is facing linked to its painkiller OxyContin.
Purdue is one of several firms named in the claim which alleged they used deceptive practices to sell opioids.
[...]Under the settlement, Purdue will pay $102.5m towards the creation of a National Centre for Addiction Studies and Treatment at Oklahoma State University.
The Sacklers themselves said that they will contribute $75m over five years to the centre.
Previously: OxyContin Maker Purdue Pharma May File for Bankruptcy to Disrupt Lawsuits
Related Stories
OxyContin maker Purdue Pharma reportedly exploring bankruptcy
OxyContin maker Purdue Pharma is exploring filing for bankruptcy to address potentially significant liabilities from thousands of lawsuits alleging the drug manufacturer contributed to the deadly opioid crisis sweeping the United States, people familiar with the matter said on Monday.
The deliberations show how Purdue and its wealthy owners, the Sackler family, are under pressure to respond to mounting litigation accusing the pharmaceutical company of misleading doctors and patients about risks associated with prolonged use of its prescription opioids.
Purdue denies the allegations, arguing that the U.S. Food and Drug Administration-approved labels for its opioids carried warnings about the risk of abuse and misuse associated with the drugs.
Filing for Chapter 11 protection would halt the lawsuits and allow the drug maker to negotiate legal claims with plaintiffs under the supervision of a U.S. bankruptcy judge, the sources said.
No "Big Tobacco" moment for Purdue Pharma. Cut and run.
Previously: City of Everett, Washington Sues OxyContin Maker Purdue Pharma
OxyContin's 12-Hour Problem
South Carolina Sues OxyContin Maker Purdue
Tens or Hundreds of Billions of Dollars Needed to Combat Opioid Crisis?
Purdue Pharma to Cut Sales Force, Stop Marketing Opioids to Doctors
Colorado Attorney General Sues Purdue Pharma
Related: The Dutch Supply Heroin Addicts With Dope and Get Better Results Than USA
U.S. Opioid Deaths May be Plateauing
OxyContin Maker Purdue Pharma to Plead Guilty to Three Criminal Charges
OxyContin maker Purdue Pharma to plead guilty to 3 criminal charges as part of an $8 billion-plus settlement
WASHINGTON (AP) — Purdue Pharma, the company that makes OxyContin, the powerful prescription painkiller that experts say helped touch off an epidemic, will plead guilty to three federal criminal charges as part of a settlement of more than $8 billion, Justice Department officials told The Associated Press.
The company will plead guilty to a criminal information being filed Wednesday in federal court in New Jersey to three counts, including conspiracy to defraud the United States and violating federal anti-kickback laws, the officials said.
The deal does not release any of the company's executives or owners — members of the wealthy Sackler family — from criminal liability. A criminal investigation is ongoing.
The officials were not authorized to discuss the investigation publicly and spoke on condition of anonymity.
Also at: Business Insider, CBS News, and ABC News.
Guilty pleas? You seldom see that - these corporates always seem to get away with weasel word statements to the effect, "We acknowledge no wrongdoing blah blah blah . . . "
Purdue Pharma Pleads Guilty to Opioid Crisis Charges, Will Become a Public Benefit Corporation
Purdue Pharma, the maker of OxyContin, has agreed to plead guilty to three federal criminal charges for its role in creating the nation's opioid crisis and will pay more than $8 billion and close down the company.
The money will go to opioid treatment and abatement programs. The privately held company has agreed to pay a $3.5 billion fine as well as forfeit an additional $2 billion in past profits, in addition to the $2.8 billion it agreed to pay in civil liability.
"Purdue Pharma actively thwarted the United States' efforts to ensure compliance and prevent diversion," said Drug Enforcement Administration Assistant Administrator Tim McDermott. "The devastating ripple effect of Purdue's actions left lives lost and others addicted."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. The Justice Department said it will function entirely in the public interest rather than to maximize profits. Its future earnings will go to paying the fines and penalties, which in turn will be used to combat the opioid crisis.
That new company will continue to produce painkillers such as OxyContin, as well as drugs to deal with opioid overdose. Deputy Attorney General Jeffrey Rosen, who announced the settlement, defended the plans for the new company to continue to sell that drug, saying there are legitimate uses for painkillers such as OxyContin.
Also at The New York Times, Bloomberg, NBC, and CBS.
Previously:
City of Everett, Washington Sues OxyContin Maker Purdue Pharma
South Carolina Sues OxyContin Maker Purdue
Purdue Pharma to Cut Sales Force, Stop Marketing Opioids to Doctors
Colorado Attorney General Sues Purdue Pharma
OxyContin Maker Purdue Pharma May File for Bankruptcy to Disrupt Lawsuits
After Pushing Addictive OxyContin, Purdue Now Pursuing Overdose Antidote
Purdue Pharma to Pay $270 Million Settlement to Oklahoma
Report Finds that Purdue Pharma Infiltrated WHO, Manipulated Opioid Policies to Boost Sales
Opioid Talks Fail, Purdue Bankruptcy Filing Expected
Makers of OxiCotin, Purdue Pharma, Files Reorganization Chapter 11 "Bankrupty"
Sacklers Threaten to Scrap Opioid Deal If They Aren't Shielded From Lawsuits
Report: Sacklers Using Fake Doctors, False Marketing to Sell OxyContin in China
OxyContin Maker Purdue Pharma LP Said to be Brokering Plea Deal in Criminal Probe
(Score: 2) by tizan on Tuesday March 26 2019, @11:17PM (12 children)
They paid family members $4bn ...Guess how much profit they made...this is not even causing a dent
48000 overdose in 2017
https://www.theguardian.com/society/2019/feb/01/oxycontin-sackler-family-profits-opioid-crisis-court-files-reveal [theguardian.com]
(Score: 0) by Anonymous Coward on Tuesday March 26 2019, @11:37PM (9 children)
It's hilarious to me that fake stats like this is the way to take down these scammers . Rather than revealing their entire method of figuring out what is a good idea to give to people or not is essentially a bunch of strung together fallacies (NHST), it is better to come up with more fallacious statistics.
(Score: 2) by c0lo on Tuesday March 26 2019, @11:53PM (8 children)
This doesn't quite parse. Care to rephrase it for a human mind?
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 1, Funny) by Anonymous Coward on Tuesday March 26 2019, @11:56PM
Clearly the writings of a Purdue Pharma patient.
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @12:32AM (6 children)
Whether the benefits outweigh the cost when giving sick people a drug.
(Score: 2) by c0lo on Wednesday March 27 2019, @12:44AM (3 children)
their method of figuring "Whether the benefits outweigh the cost when giving sick people a drug." [theguardian.com]
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @01:03AM (2 children)
What is your point? The government approved it cause "p < 0.05" and they hadn't reached their quote for drugs to approve yet that year.
(Score: 2) by c0lo on Wednesday March 27 2019, @01:44AM (1 child)
What is your question? Are you able to formulate it coherently?
Who are they?
How is the emphasis relevant?
https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @01:51AM
Sorry, I don't have a question for you. It is clear what will convince you, and it don't involve no compound sentences.
(Score: 2) by Runaway1956 on Wednesday March 27 2019, @02:10AM (1 child)
I don't think anyone questions that oxycontin is a good and useful drug, sometimes. Pushing drugs for profit is the issue here. Rewarding successful pushers is the issue.
“I have become friends with many school shooters” - Tampon Tim Walz
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @02:21AM
Here is what they did:
1. Test "addictiveness" in in-patients who are sitting in a miserable room under doctor/nurse supervision
- Result: p < 0.05 for pain killing but p > 0.05 for habit-forming
2. Extrapolate the results of #1 to out-patients who are sitting at home watching TV and drinking beer when they pop a pill
(Score: 2) by krishnoid on Wednesday March 27 2019, @12:02AM (1 child)
If you want to start making a dent, you could consider acupuncture as a first-line treatment, as the military does [google: opioid acupuncture pubmed]. Most of the studies come from alternative medicine journals, but it's the kind of thing that could stop the pain before even needing an opioid prescription -- especially as acupuncture doesn't seem to help with opioid addiction [nih.gov] itself.
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @12:44AM
No, I now really think making a dent needs to be detached from reality the same way these people made a dent. Whether people should be using a treatment or not is totally irrelevant.
(Score: -1, Troll) by Anonymous Coward on Tuesday March 26 2019, @11:58PM (5 children)
If killing a few junkies is worth $270 million, what is an appropriate penalty for causing autism in millions of otherwise healthy and productive children?
(Score: 2) by krishnoid on Wednesday March 27 2019, @12:09AM (1 child)
Being forced to sit through the entire run of The Big Bang Theory, but only the Sheldon scenes?
(Score: 0) by Anonymous Coward on Wednesday March 27 2019, @05:21AM
Creative, but that sentence would be struck down in the US courts since the eighth amendment prohibits cruel and unusual punishment.
(Score: 1, Insightful) by Anonymous Coward on Wednesday March 27 2019, @12:18AM (1 child)
A gold medal.
(Score: 2) by DannyB on Wednesday March 27 2019, @01:54PM
As long as I get to pin the medal on. As long as the medal has very long and sharp and many pins to hold it securely in place.
If a lazy person with no education can cross the border and take your job, we need to upgrade your job skills.
(Score: 3, Insightful) by cmdrklarg on Wednesday March 27 2019, @05:46PM
Nothing, as vaccines don't cause autism.
Now, I'd like to know how much these pro-diseasers will have to pay for kids who are disabled or killed when they are infected by diseases preventable by vaccines.
The world is full of kings and queens who blind your eyes and steal your dreams.
(Score: 3, Interesting) by Barenflimski on Wednesday March 27 2019, @02:11AM (2 children)
I'm not convinced that just because there is a drug available that availability is the primary reason people do drugs. I'm no phan of pharma, but I don't think it is right to blame them for all of the issues related to drug use. From what I have seen with people over my life, most people bumped into these drugs and simply had no way off once they were knee deep in. Almost no one can take a week off to detox from opiates. Its much easier and in many cases the only way to keep your job, to just keep taking a low maintenance dose until it becomes an even larger issue. By that point, society shames them into a corner by themselves because they let a problem get so bad. I have never seen a case where shaming a person changes their behavior. In most cases this simply confirms what the person already was feeling, and the whole point is to help them move on. This isn't helpful.
Until we learn as a society how to help each other through tough times in life, we will never change anything. If we don't bottle up the knowledge we have and pass it on to our kids, they will have to re-learn all of it from scratch. Some of the lessons we learn in life are generational lessons, and this is one of them. Unfortunately our system is setup to not be helpful at every turn when someone wants to change their behavior. From being told they have to accept their shortcomings, they are defective at self help groups, to the upfront and mostly un-affordable cost of help, to not being able to take the time off of work, to most of their friends not having any idea how to talk to them about this, to losing all sorts of certifications, gaining a permanent medical record with a pre-exisiting condition, and never being able to qualify for certain jobs ever again, for most it pays to keep this to themselves. The current system has many shortcomings.
I'm glad a good portion of this will actually go to treatment. It speaks volumes about the conversation when the only way we deal with any of this, on any level is with lawsuits, criminal cases, and locking people up. Maybe it's time to get ahead of this and start a real conversation.
(Score: 3, Interesting) by tizan on Wednesday March 27 2019, @02:48AM
Most cases where it was being prescribed could be treated with ibuprofen or other such drugs..This is an addictive drug that should be used in cases when others don't work...and the risk of addiction is downweighed by the gain in quality of life (another e.g morphine).
Doctors were being told by pharma people that it is not addictive...A dentist prescribed it for me after a crown work and told me people in pain don't get addicted !...they thought it was an effective pain killer with no side effects...and that thought was being driven by the sales people talking to them. Nobody was giving morphine willy nilly 2 years ago...but they were for oxycontyn.
(Score: 2) by urza9814 on Thursday March 28 2019, @12:21PM
Anyone who does believe that is an idiot, and that's not what this case was about.
THAT is what this case was about. Purdue lied about the potential risks and dangers of this drug, because they knew that telling the truth would hurt their profits. They withheld information that could have saved lives because they felt it was profitable to do so.
The way I see it, there's two options. One way or another, we've gotta ensure that people aren't being rewarded for this kind of bad behavior. Lawsuits and prison sentences *are* one way of doing that, although they don't seem to do it very well. Take away a significant portion of their profits (which does not seem to be what happened here...) so that it's more profitable to tell the truth and actually sell medicine instead of pushing pills. Or lock up the people responsible so they can't use those profits. The alternative is to try to rebuild the entire system so that there's no profit motive involved to begin with. The latter would be my preference...but if we must keep it capitalist then we need some way to punish bad behavior.
(Score: 2) by DannyB on Wednesday March 27 2019, @02:01PM
Why is that a problem?
Aren't ALL opioids sold by deceptive practices?
What Purdue did was have the ingenuity to get doctors to prescribe them. I'm sure many doctors had sample packs to offer patients in keeping with the tradition that the first hit is free.
If a lazy person with no education can cross the border and take your job, we need to upgrade your job skills.