Justice Department Blasts Purdue Pharma's Bankruptcy Plan
Two divisions of the DOJ argue the deal improperly shelters members of the Sackler family and their associates from liability. States are finalizing a separate deal with other opioid companies.
Updated July 19, 2021 at 10:56 PM ET
The U.S. Justice Department is condemning a proposed bankruptcy settlement for Purdue Pharma, the maker of Oxycontin. In court filings Monday, two divisions of the DOJ described the plan as fatally flawed.
The DOJ's U.S. Trustee program, which serves as a national watchdog over the federal bankruptcy system, said the deal is unconstitutional and illegal.
