Attorney General William Tong has joined eight other attorneys general in filing formal objections to Purdue Pharma’s proposed bankruptcy plan.
The objections, which were filed in the U.S. Bankruptcy Court for the Southern District of New York as part of the Stamford company’s bankruptcy proceedings, are in reference to the $4.3 billion that the Sackler family will pay for its company’s role in the opioid crisis.
The attorneys general pointed out that the Sackler family made at least $11 billion in profits from producing and marketing OxyContin and that the Sacklers themselves are neither bankrupt nor claiming bankruptcy.
Furthermore, the attorneys general oppose a provision in the bankruptcy plan that would grant the Sacklers lifetime immunity from all liability, which would prevent the states from bringing consumer protection lawsuits against the family. And they highlighted a recent New York Times editorial that showed the Sacklers will continue to earn interest on their $4.3 billion as the settlement is paid out over nine years, thus ensuring they will be wealthier than they were when they started.
“Connecticut will not sit on the sidelines while the Sacklers raid their own charity funds and walk away with their personal wealth intact,” said Tong. “This plan represents an unprecedented legal maneuver to try to force states to give up our strong claims against the Sacklers. This plan is a far cry from justice, and we will not give up our fight for justice and accountability.”
Tong is joined by the attorneys general of California, Delaware, the District of Columbia, Maryland, Oregon, Rhode Island, Vermont and Washington. A hearing on the bankruptcy plan is set to begin on Aug. 9.