Sacklers Drained Purdue Money After First Lawsuit

Purdue Pharma and three executives pleaded guilty in 2007 and taking part in misleading the public about the risks of OxyContin. The Sacklers, who own the company, began to drain money from the company shortly after, according to the BBC. Between 2008 and 2017, the family transferred about $10.7 billion out of Purdue Pharma. The amount of money greatly exceeds withdrawals that the family made - $1.3 billion - between 1995 and 2007. Lawsuits Threaten the Company’s Survival In the past nine years, states, cities, and counties have started to sue Purdue for their misdeeds. At last, most of the lawsuits were added together in court. Now U.S. Bankruptcy Judge Robert Drain of White Plains, New York, will soon decide to decide whether to approve a $12 billion settlement. The payout would cover more than 2,700 lawsuits over its role in the opioid addiction crisis. The payout will potentially bankrupt the company, but they still have pharmaceutical companies that may remain unaffected and do business overseas. On May 10,…

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JPMorgan Chase Dumps Purdue Pharma

JP Morgan Chase, the banking giant which handles accounts for Oxycontin manufacturer, Perdue Pharma, has told them to take their business elsewhere. JP Morgan did not lend money to Purdue, but JPMorgan's commercial bank managed the company's cash and bill payments, according to NBC. It’s currently unknown how long the bank handled finances for the pharmaceutical giant. The company is an enormous banker in the United States. According to inside sources, the banker has dropped Purdue Pharma due to its involvement in the opioid industry, and presumably because Purdue faces nearly 2,000 lawsuits in the United States. Banks have always made it a practice to refuse to lend credit to companies with risky ties or lousy credit. Purdue’s ongoing litigation certainly made it easier for the bank to drop them. The company has even considered bankruptcy as a way to free up assets due to the continuing lawsuits. Opioid Lawsuits Taking a Toll Purdue recently settled a lawsuit in Oklahoma for a staggering 270 million dollars. The money will…

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