Judge To Sentence Purdue Pharma, Clearing Path For Opioid Settlement Payouts
A judge will sentence Purdue Pharma in a criminal opioids case, clearing the way for settlement money to begin flowing to victims. The sentencing, scheduled in federal court, resolves a key legal hurdle stemming from the company's guilty plea. That clearance will allow funds from settlements to be distributed to states, tribes and local governments that sued over harms from opioid misuse.
Purdue's criminal case and settlement stem from years of litigation over its marketing of opioid painkillers and decades-long increases in overdose deaths. The judge's action could speed relief for communities that have sought billions in damages and support programs to address addiction and treatment needs.
đ Key Facts
- Judge is expected to order Purdue Pharma to forfeit $225 million to the Justice Department as part of a 2020 criminal plea deal.
- The government agreed not to collect an additional $5.3 billion in criminal penalties and $2.8 billion in civil liabilities, treating them as part of the broader settlement.
- The separate settlement requires Sackler family members to pay up to $7 billion over 15 years and will dissolve Purdue into a new public-benefit company, Knoa Pharma.
- Purdue pleaded guilty in 2020 to three federal criminal charges, including failing to prevent diversion and paying doctors and an electronic records company to boost opioid prescriptions.
- Family members took $10.7 billion out of Purdue from 2008 to 2018 and have not been criminally charged.
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