Connecticut appeals Purdue bankruptcy plan
Press release from the GA office:
September 27, 2021
Attorney General William Tong has filed a formal notice with the United States Bankruptcy Court in the Southern District of New York that Connecticut will appeal a controversial and unprecedented ruling that seeks to extinguish Connecticut’s claims against Purdue Pharma and the non-bankrupt Sackler family.
“The Sacklers are not bankrupt. We cannot allow our bankruptcy laws to be abused and misused as a loophole for the rich and powerful to avoid justice and accountability. This decision was a unprecedented and unacceptable exceedance by bankruptcy court. Connecticut has filed a notice that we will appeal and continue to fight on behalf of the victims and families of the opioid epidemic until justice is served, “he said. said Attorney General Tong.
Judge Robert Drain ruled earlier this month that he would approve a bankruptcy plan for Purdue Pharma that grants lifetime legal protection to the Sackler family for civil opioid claims.
Purdue’s bankruptcy plan requires the Sackler family to pay $ 4.3 billion – though it’s worth several times that amount – over nine years to help reduce the opioid crisis they fueled. By the time they finish paying this settlement, the Sacklers will be richer than they were when they started.
Attorney General Tong joined eight other attorneys general who filed objections with the U.S. Bankruptcy Court for the Southern District of New York. The objections note that the Sackler family has made at least $ 11 billion in profits by deceptively producing and marketing OxyContin, a major driver of the rise of the opioid crisis and, most importantly, the Sacker family. is not bankrupt or even bankrupt. The crisis has cost the nation millions of lives and over $ 2,000 billion in damage.
Attorney General Tong testified before the House Judiciary Subcommittee on Antitrust, Commercial and Administrative Law in July in support of bankruptcy reform.
This press release was produced by the office of the VG. The opinions expressed here are those of the author.