Purdue points to creditor support for bankruptcy plan to escape opioid litigation but will Congress follow Fierce Pharma
As if partaking in the powerful drug it aggressively marketed, being at the forefront of the opioid boom was a dizzying high for Purdue Pharma. But it ultimately proved crippling for the manufacturer of OxyContin. On Tuesday, the company revealed that its bankruptcy plan has received “overwhelming support.” The move will allow Purdue to settle thousands of lawsuits it faced over its role in helping trigger and fuel the opioid crisis. Among nearly 5,000 state and local creditors, 97% voted to accept the chapter 11 reorganization plan. A confirmation hearing is set for Aug. 9. “This is an unprecedented expression of support for a restructuring of this size and complexity, in favor of a plan that will provide needed resources to those affected by the opioid crisis,” Purdue Pharma CEO Steve Miller said in a release. The vote came less than three weeks after 15 states signed off on Purdue’s controversial plan, which would transform the company into a nonprofit in exchange for excusing ...