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OxyContin will close their company after paying $8 billion for their federal criminal charges



OxyContin will close their company after paying $8 billion for their federal criminal charges

In its major actions in creating the nation’s opioid crisis, OxyContin agreed to plead guilty. For its three federal criminal charges, Purdue Pharma has agreed to pay $8 billion and close down the company.

This private firm will pay $3.5 billion as a fine and will also forfeit past profits of $2 billion. And also, for civil liability, the company will pay$2.8 billion. All of this money will find utilization in opioid treatment and abatement programs.

The DEA Assistant Administrator Tim McDermott slammed Purdue Pharma for their role in devastation. He blames the company for being the reason for which many lost lives and most got an addiction. He also stated that “Purdue Pharma actively thwarted the United States’ efforts to ensure compliance and prevent diversion.”

Purdue will dissolve as a settlement because the company doesn’t have $8 billion in cash. This asset is going to find use in creating a “public benefit company” and will be controlled by the trust. Justice Department passed its discretion that it will function only for serving public needs instead of gaining profit. And to counter the crises of opioids, future earning will find uses in paying the fines and penalties.

The new company will manufacture OxyContin, which is a painkiller, along with producing drugs to curb opioid overdose. Jeffrey Rosen, the Deputy Attorney General, has claimed that the new company will sell painkillers for authenticate uses.

The new company aims to rescue drugs that can cure overdose. They also aim to make medically assisted treatment medications at low prices for sections of society that suffering from a shortage. The former owners of Purdue Pharma, the Sackler family, needs to pay a civil settlement of $225 as said by the Justice Department. Possibilities predict that federal criminal charges will get filed against the current and former employees and owners of the company.

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