Purdue Frederick pleads guilty in OxyContin case

Court Alerts

[##_1L|1113648157.jpg|width="120" height="88" alt=""|_##]Purdue Frederick Co. and three individuals pleaded guilty to charges of misbranding prescription painkiller OxyContin and will pay more than $634.5 million in penalties, the U.S. Justice Department said on Thursday. The company pleaded guilty to felony misbranding of OxyContin with the intent to defraud and mislead, while its president, chief legal officer and former chief medical officer pleaded guilty to a misdemeanor charge of misbranding, the government said in a statement.

The Stamford, Connecticut-based company and three executives admitted that they falsely claimed OxyContin was less addictive, less subject to abuse, and less likely to cause withdrawal symptoms than rival pain medications.

The U.S. Food and Drug Administration had not approved those claims.

"Purdue (Frederick) put its desire to sell OxyContin above the interests of the public," Assistant Attorney General Peter Keisler said in a statement. "Purdue abused the drug approval process which relies on drug manufacturers to be forthright in reporting clinical data and, instead, misled physicians about the addiction and withdrawal issues involved with OxyContin."

OxyContin, prescribed for patients with moderate to severe pain, is now regulated as a controlled substance with the same addictive potential as morphine.

Of the $634.5 million settlement, $276 million will be forfeited to the United States, $160 million allocated to federal and state government agencies to resolve false claims for government healthcare programs and $130 million will go to resolving private civil claims.

Additional amounts will be paid to the Virginia Attorney General's Medicaid Fraud Control Unit and the Virginia Prescription Monitoring program.

The guilty pleas follow a $19.5 million settlement the related manufacturer of OxyContin, Purdue Pharma LP, made with 26 states and the District of Columbia this week over allegations it failed to adequately disclose abuse risks posed by the powerful narcotic.

Purdue Pharma had also settled a civil case brought by its insurer in June for $200 million.

Related listings

  • Lawyers plead guilty to fraud in U.S. trading case

    Lawyers plead guilty to fraud in U.S. trading case

    Court Alerts 05/10/2007

    [##_1L|1308349605.jpg|width="130" height="90" alt=""|_##]A former Morgan Stanley <MS.N> lawyer and her attorney husband pleaded guilty on Thursday to conspiracy and securities fraud in what U.S. authorities have called the most pervasive inside...

  • Ex-treasurer pleads guilty in Nigerian investment scam

    Ex-treasurer pleads guilty in Nigerian investment scam

    Court Alerts 05/09/2007

    [##_1L|1317394418.jpg|width="130" height="90" alt=""|_##]Even his attorney finds it baffling that former Alcona County treasurer Thomas Katona would have dumped as much as $1.2 million in public funds into fraudulent Nigerian investments. "It's the m...

  • Man faces court over veteran's beheading

    Man faces court over veteran's beheading

    Court Alerts 05/09/2007

    [##_1L|1230965326.jpg|width="120" height="101" alt=""|_##]A 41-year-old mental health patient has faced a northern New South Wales court charged with the decapitation murder of 82-year-old Armidale war veteran Mark Hutchinson. Mr Hutchinson's body wa...

Grounds for Divorce in Ohio - Sylkatis Law, LLC

A divorce in Ohio is filed when there is typically “fault” by one of the parties and party not at “fault” seeks to end the marriage. A court in Ohio may grant a divorce for the following reasons:
• Willful absence of the adverse party for one year
• Adultery
• Extreme cruelty
• Fraudulent contract
• Any gross neglect of duty
• Habitual drunkenness
• Imprisonment in a correctional institution at the time of filing the complaint
• Procurement of a divorce outside this state by the other party

Additionally, there are two “no-fault” basis for which a court may grant a divorce:
• When the parties have, without interruption for one year, lived separate and apart without cohabitation
• Incompatibility, unless denied by either party

However, whether or not the the court grants the divorce for “fault” or not, in Ohio the party not at “fault” will not get a bigger slice of the marital property.

Business News

St Peters, MO Professional License Attorney Attorney John Lynch has been the go-to choice for many professionals facing administrative sanction. >> read