NJ Pharma Settles: Cash, Narcan for Delaware

NJ Pharma Settles: Cash, Narcan for Delaware

Introduction

Amneal Pharmaceuticals, a New Jersey-based drug manufacturer, has reached a settlement agreement with Delaware and other states over its involvement in the opioid crisis, as announced by the Delaware Department of Justice.

The settlement, exceeding $270 million, stems from allegations that Amneal, a producer of nearly 9 billion generic opioid pills from 2006 to 2019, negligently failed to monitor and report suspicious orders by its customers, leading to the overprescription of opioids.

This agreement comes amid a surge in overdoses in Kent and Sussex counties, prompting state police to issue multiple safety advisories following 125 suspected overdoses reported in a single week. Analysis by the Delaware National Guard revealed that many of the drugs involved contained both xylazine, a veterinary sedative also known as "tranq," and the synthetic opioid fentanyl.

As part of the settlement, Amneal will provide $92.5 million in cash to the participating states over the next decade. Delaware's share will be directed to the Prescription Opioid Settlement Distribution Fund, which supports organizations dedicated to addressing addiction.

The remaining settlement funds will be allocated to states in the form of naloxone nasal spray, commonly known as Narcan. Amneal's generic version of Narcan received FDA approval for over-the-counter sales on April 24, according to the company.

Although Amneal did not issue a formal statement regarding the settlement, the company's co-chief executive officers expressed pride in assisting with the public health emergency in a press release coinciding with the launch of their generic Narcan.

Delaware's Attorney General emphasized the state's commitment to holding pharmaceutical companies accountable for their role in the opioid crisis, stating, "While no amount of money can undo the harm that has been done, we will continue to stand for it no more."