Insys agrees to pay $ 225 million to stop opioid investigations: NPR

Insys, the subsys maker of fentanyl, has agreed to a $ 225 million settlement with the federal government to resolve criminal and civil investigations into the company's role in the opioid crisis.

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Reuters

Insys, the subsys maker of fentanyl, has agreed to a $ 225 million settlement with the federal government to resolve criminal and civil investigations into the company's role in the opioid crisis.

Reuters

Insys Therapeutics, an opioid manufacturer, has agreed to pay $ 225 million to settle criminal and civil investigations conducted by the federal government on the company's marketing practices. As part of the settlement, Insys Therapeutics admitted to having corrupted doctors for whom they prescribe their opioid pain reliever.

Last month, a federal jury in Boston declared five leaders of Insys Therapeutics found guilty of racketeering conspiracy for these same practices. Now the federal government holds the company responsible.

In the agreement, the drug manufacturer admitted to orchestrating a national program in which he set up a fake "speaker program". The participating physicians were not paid to make speeches, but to write prescriptions for the fentanyl-based drug from Insys Therapeutics, Subsys. The painkiller was often prescribed to patients who did not need it.

Over the next five years, the company has agreed to close federal oversight and the federal government reserves the right to lay charges to the company in the future in the event of an offense.

"For years, Insys has been engaging in illegal and prolonged behavior that privileges its health benefits to the thousands of patients who depend on it," US Attorney Andrew Lelling said in a statement. "Today, the company is held responsible."

This regulation, along with the criminal lawsuits against Insys executives, is part of the federal government's efforts to punish pharmaceutical companies for their role in the opioid epidemic.

"The settlement reached today sends a clear message to pharmaceutical manufacturers that the type of unlawful conduct we have alleged in this case will not be tolerated," said Deputy Attorney General Jody Hunt in a statement. "I want to assure families and communities ravaged by this outbreak that the Department of Justice will continue to act forcefully to ensure that opioid manufacturers are held accountable for their actions."

The founder of Insys Therapeutics, John Kapoor, is one of the top pharmaceutical executives to be convicted in the opioid epidemic. The sentence of the former billionaire is scheduled for September.

A spokesperson for Insys Therapeutics did not respond to a request for comment regarding the regulation. However, in August 2018, the company announced the policy settlement and a spokeswoman said in a statement: "Insys Therapeutics does not defend in any way the misbehavior of former employees."

The company has had to deal with significant financial problems attributed to legal costs. Earlier this year, an Insys spokesman said the company may not survive.