Purdue Pharma, The Sackler Family, And The $8 Billion Opioid Settlement

Purdue Pharma and the Sackler family have been at the center of one of the most significant public health crises in recent history: the opioid epidemic. The company introduced OxyContin, a painkiller that quickly revealed its addictive nature. By the time its dangers were fully recognized, the opioid crisis was already unfolding, leading to numerous lawsuits at both federal and state levels. Purdue Pharma is now recognized as a key player in the creation of the opioid crisis, and it recently announced a plea deal to resolve over $8 billion in federal criminal charges, as reported by the Justice Department.

The charges against Purdue Pharma include conspiracy to defraud the U.S., violations of federal anti-kickback laws, and failure to monitor the promotion and sales of scheduled drugs. Specifically, the company incentivized doctors to write more OxyContin prescriptions. After filing for bankruptcy in 2019, Purdue Pharma lacks the financial resources to pay the settlement. Consequently, the company will be dissolved, although it still faces various charges from state and local governments. It is essential to note that the Sackler family's accountability remains unresolved, as they could still face legal consequences.

Over the past two decades, opioid use has tragically led to more than 470,000 American deaths. The Sackler family maintains that their actions were "ethical and lawful," despite public scrutiny. Currently, no members of the Sackler family hold positions on Purdue Pharma's board. As part of the settlement, Purdue Pharma will pay $225 million to the U.S. government, alongside a criminal forfeiture and further fines totaling billions of dollars. The company is set to transform into a public benefit corporation, emphasizing its commitment to public health while continuing to manufacture OxyContin. A portion of the profits will go towards drug treatment programs aimed at combating the opioid epidemic.

The plea agreement highlights that Purdue Pharma admitted to violating federal laws, including conspiracy to aid in the unlawful prescription of OxyContin and other medications. Furthermore, the Sackler family, once a powerful dynasty in America, has seen their reputation decline significantly. Renowned institutions such as Tufts University and the Louvre have distanced themselves from the family due to their connection to the opioid crisis.

• Purdue Pharma has been implicated in the opioid crisis, leading to federal criminal charges.
• The company will pay over $8 billion in a settlement while facing further charges from state and local governments.
• Over 470,000 Americans have died from opioid use in the past two decades.
• The Sackler family's accountability in the crisis remains unresolved.
• Purdue will transform into a public benefit corporation and contribute to drug treatment efforts.