The Sackler family just keeps digging themselves deeper into the mess they’re in. Not only are there more than 2,000 lawsuits against their company and family for their role in the opioid crisis, but their company not only invented and prescribed OxyContin, they downright pushed it on the public in order to pad their bank accounts. Recent revelations show that Purdue Pharma paid $4.1 billion to the Sacklers, $1.6 billion to affiliated companies, and $4.6 billion for taxes since 2008. This is on the $10 billion Purdue Pharma LP generated in that time, according to a new report from Alix Partners, a Purdue adviser, that was filed in New York bankruptcy court.
This report is the most thorough accounting to date of the dividends collected by the Sackler family as the opioid crisis grew. Alix Partners tracked cash distributions to affiliated companies, legal expenses, compensation, pensions, travel, and other benefits from 2008 through September 30, 2019. A consultant for Alix Partners previously testified that Purdue had paid out up to $13 billion to the Sacklers, leading to growing scrutiny of their financial dealings.
The Sackler family has long faced accusations of siphoning money off company profits to fund their lavish lifestyles. Critics argue that this money should have been utilized to address the billions of dollars in damages caused by OxyContin. New York Attorney General Letitia James issued subpoenas to 33 financial institutions and investment advisors connected to the Sacklers in an attempt to assess their wealth. Celebrity Net Worth estimates the combined family fortune is worth $14-15 billion, but many state attorneys general believe the family has even more money hidden away.
What You Will Learn
- The financial dealings and payouts of the Sackler family related to Purdue Pharma.
- The lawsuits and legal challenges faced by the Sacklers due to the opioid crisis.
- Insights into the wealth of the Sackler family and the scrutiny they are under.
- The potential settlement offers made by the Sackler family in light of the lawsuits.
The newly surfaced report sheds light on Purdue's operations, but it leaves many questions unanswered regarding the Sacklers' wealth and the location of their cash and assets. In a move to settle numerous lawsuits against them by states, counties, cities, and Native American tribes, the Sackler family has proposed to return $3 billion. However, this would require them to relinquish all ownership of Purdue and would bar them from being appointed to the board of the trust.
As the opioid crisis continues to unfold, the implications of these revelations remain significant. The Sackler family's legacy is marred by a history of pushing addictive drugs onto the market, and the ongoing legal battles demonstrate the complexity of accountability in corporate America. The question remains: can they truly reform and contribute to the healing process, or will they continue to be seen as the architects of this devastating crisis?
