This archive report was first published on 17 September 2019.
North Carolina Attorney General Josh Stein has accused the Sackler family of being among the most responsible for the devastating impact of the opioid epidemic. Speaking on the matter, he stated, “I allege that these people are among the most responsible for the trail of death and destruction the opioid epidemic has left in its wake.”
Stein's comments come as states and municipalities are set to decide whether to support a proposed bankruptcy deal for Purdue Pharma, the company owned by the Sacklers. The deal would see the company donate billions of dollars in cash and medicines to treat addiction and overdoses, while also ensuring the Sacklers' exit from the pharmaceutical industry.
However, not all states are on board with the deal. Massachusetts Attorney General Maura Healey has vowed to continue pursuing Purdue and the Sacklers in both bankruptcy court and state court. Meanwhile, New York Attorney General Letitia James has announced evidence of about a billion dollars in undisclosed wire transfers out of Purdue by a member of the Sackler family.
James has also expressed her opposition to any deal that would allow the Sacklers to evade responsibility and continue profiting from the opioid crisis. She stated, “any deal that cheats Americans out of billions of dollars, allows the Sacklers to evade responsibility, and lets this family continue peddling their drugs to the world is a bad one.”
The proposed bankruptcy deal has been met with skepticism by some legal scholars, who argue that previous rulings by the US Court of Appeals for the Second Circuit could be used to halt lawsuits against the Sacklers and the company.
As the battle over the Purdue bankruptcy deal continues, it remains to be seen whether states and municipalities will ultimately support the proposal. Tennessee Attorney General Herbert H. Slatery III has expressed his support for the deal, stating that it was agreed upon by a bipartisan group of 29 attorneys general and over 2,000 cities and counties.
He emphasized that the settlement framework would see Purdue cease to exist, and the Sacklers would be permanently removed from the pharmaceutical industry. Slatery added, “No other plan on the table has any assurance of accomplishing these things.”
