[Download] "Company Producing Oxycontin and Three Executives Plead Guilty to Federal Charges of Misbranding" by Developments in Mental Health Law ~ Book PDF Kindle ePub Free
eBook details
- Title: Company Producing Oxycontin and Three Executives Plead Guilty to Federal Charges of Misbranding
- Author : Developments in Mental Health Law
- Release Date : January 01, 2008
- Genre: Law,Books,Professional & Technical,
- Pages : * pages
- Size : 66 KB
Description
The Purdue Frederick Company, Inc., the company that makes the narcotic painkiller OxyContin, and three current and former executives pled guilty in federal court to criminal charges of misbranding, a plea accepted by the federal Western District Court of Virginia. Federal law makes it a crime to mislabel a drug, fraudulently promote it, or market it for an unapproved use. The charges alleged that the defendants misled physicians and consumers about the drug's risk of addiction and potential to be abused. The company agreed to more than $600 million in sanctions. This was reported to be the third-highest amount ever paid by a drug company in such a case and to represent about 90% of the profits for sales of the drug during the time period of the offense. This amount included roughly $100 million payable to federal government health care agencies, $60 million in escrow for those states that elect to settle their claims against Purdue, $20 million in trust to the Commonwealth of Virginia for operating the Virginia Prescription Monitoring Program, a $276 million forfeiture to the United States, and $130 million to settle private civil claims related to OxyContin. The executives who pled guilty included the company's former president and CEO, its executive vice president and chief legal officer, and its former chief scientific officer. They agreed to pay a total of $34.5 million in fines.