Sackler Family Accused Of Exploiting Bankruptcy Process

Sackler Family Accused Of Exploiting Bankruptcy Process

Introduction

Attorneys representing a group of states have asked a federal judge to reject the settlement of thousands of opioid lawsuits against OxyContin maker Purdue Pharma.

The states claim that the bankruptcy plan will give legal protection to the Sackler family. The attorneys representing the states said that family members took more than $10 billion from the company to direct the settlement to bankruptcy.

As per the lawsuit, the company is alleged to aggressively market OxyContin, an opioid painkiller resulting in an opioid overdose crisis. The court crafted a plan to deal with the opioid epidemic, which calls that the members of the Sackler family need to contribute more than $4 billion in cash.

Some of the state and local governments, along with thousands of individual victims, agreed to the deal, while some reluctantly agreed. Those who were skeptical about the deal have joined Purdue and Sackler family members to defend the plan.

The attorneys for the Sackler's said that the settlements are large and would cost a lot of money for the family. They even notified that if the trials kept on going for years, it would be difficult for the family to pay the settlement. Currently, Sackler family members face 860 lawsuits in the federal court.

Earlier in a trial, CVS Health, Walmart and Walgreens, the three major pharmacies in the United States have been held partially responsible for fueling the opioid crisis in two Ohio counties.