Purdue Pharma pleads guilty to felony charges, will pay $8 billion

Charges include defrauding federal health agencies and violating federal kickback laws for inducing doctors to prescribe powerful opioids, such as OxyContin.
2:08 | 10/21/20

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Transcript for Purdue Pharma pleads guilty to felony charges, will pay $8 billion
We're going to turn next here tonight to that blockbuster settlement from Purdue pharma, the marmer of okay si own ton. Tonight, Purdue agreeing to pay more than $8 billion in penalties. So, will any American families battling addiction see any help from this? Here's ABC's Adrienne Bankert. Reporter: It's being hailed by the federal government as a major victory against a company, whose drug, oxycontin, is part of the public health crisis of opioid addiction that has led to the deaths of hundreds of thousands of Americans. Purdue pharma pleading guilty to felony charges of defrauding federal health agencies and violating federal kickback laws for inducing doctors to prescribe those powerful opioids. The kickback effectively put Purdue's marketing department in the exam room with a thumb on the scale. Reporter: The company agrees to pay $8.3 billion in penalties. Purdue pharma is owned by members of the wealthy sackler family, who will personally pay $225 million in civil penalties and agree to turn over control of their privately held company to a public trust. They say, "In order to facilitate a global resolution that directs substantial funding to communities in need, rather than to years of legal proceedings." But not everyone is cheering today's news. Multiple states are still suing the sacklers. No one's going to jail, no one's going to prison and worse yet, they've set up a situation where Purdue's going to be able to continue on. And Adrienne is live with us those penalties that Purdue and the sacklers are now paying, many will want to know tonight, will any of that $8 billion actually go to help families in this country fighting addiction, because this struggle obviously conditions. Reporter: Yes, David, in fact, the deal still has to be approved by a judge, but the department of justice says that money will go to redressing past wrongs as well as new programs for treatment and care for those struggling through opioid addiction. Now, we also know this, that because Purdue is in bankruptcy, it is believed that a lot of that money, that $8 billion, there's a long line of creditors hoping to get that cash, so,

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