Purdue’s Bankruptcy Plan
Maryland Attorney General Brian E. Frosh today released the following statement after Maryland and 8 other attorneys general filed a formal objection to Purdue Pharma’s proposed bankruptcy plan, which includes a lifetime legal shield for the company’s owners, the Sackler family. The states argue that a bankruptcy court doesn’t have the authority to prevent attorneys general from enforcing state law, including the decision to pursue the Sacklers for their illegal conduct.
“The proposed plan would allow the Sackler family and a host of their related entities and businesses to walk away from the wreckage that has been caused by Purdue’s malfeasance. The Sacklers would be allowed to enjoy billions of dollars that they received from Purdue, and, unlike other debtors in bankruptcy, be shielded from liability for the staggering damage that they left in their wake.
Maryland is vehemently opposed to this plan.