ATTORNEY GENERAL RAOUL AGREES TO MEDIATOR’S PROPOSAL IN PURDUE PHARMA BANKRUPTCY
Chicago — Attorney General Kwame Raoul today issued the following statement expressing support for a mediator’s proposal that will significantly improve the plan in Purdue Pharma’s bankruptcy case.
“I have been committed to reaching an agreement that holds Purdue and the Sackler family accountable for the opioid epidemic, which is why my office has worked diligently with a group of states advocating for increased accountability and transparency in a settlement agreement.
“As a result of our tireless push to improve Purdue’s original bankruptcy plan, the Sackler family will pay significantly more, with a total of $4.5 billion going towards opioid abatement – which is $1.5 billion more than was previously agreed to. In addition to paying more money, this proposal requires them to provide more of the money sooner.
“It is time to reach a resolution to the litigation so that we can ensure funds are dispatched to communities in order to support recovery efforts in Illinois and throughout the nation.”
As a result of advocacy by Raoul’s office and a group of state attorneys general, the agreement improves upon Purdue’s original bankruptcy plan by requiring additional financial contributions, greater transparency related to the role Purdue and the Sacklers played in the opioid crisis, and an expedited timeframe for Purdue to end its opioid operations. Under the agreement, the Sacklers must provide $1.5 billion more than they originally offered, instead requiring the family and their foundation to provide a total of $4.5 billion for prevention, treatment and recovery efforts in communities across the country. In addition, the agreement, for the first time, requires Purdue to make public tens of millions of documents related to their role in the opioid crisis. The proposal was filed in bankruptcy court Wednesday night and is subject to court approval.