OxiCotyn Maker Purdue Pharma Pleads Guilty to 3 Federal Charges

Pharmaceutical company Purdue Pharma pleads guilty to three federal criminal charges. The drug maker was charged with double conspiracy for misleading the US and Food, Drug, and Cosmetic Act violation, as well as two conspiracy charges for Federal Anti-Kickback Statute violation. 

Investigation into Purdue Pharma is Still Ongoing

Currently, the investigation is on, and none of Purdue Pharma’s executives are released from criminal liability. As the company is in the middle of bankruptcy proceedings, the settlement has to be approved by a bankruptcy court.

Deputy Attorney General Jeffrey Rosen stated that "The agreed resolution, if approved by the courts, will require that the company be dissolved and no longer exist in its present form."

According to the spokesperson of Purdue Pharma owners, the Sackler family agreed "to facilitate a global resolution that directs substantial funding to communities in need, rather than to years of legal proceedings."

Regarding the company's plea deal, Purdue’s spokesperson stated that "no member of the Sackler family was involved in that conduct or served in a management role at Purdue."

To achieve a resolution, the OxyContin maker will have to admit that it obstructed the Drug Enforcement Administration by representing a fake program for avoiding drug diversion and violating federal anti-kickback laws by paying doctors for prescribing more company’s opioids and painkillers.

As a part of a larger $2 billion criminal confiscation, Purdue Pharma must pay $225 million to the government, facing a $3.54 billion fine, which won’t be covered due to the company’s bankruptcy.