Endo Health Solutions Ordered To Pay $1.5 Billion In Opioid Case, Second-Largest Penalty Ever

A judge on Friday ordered Endo Health Solutions Inc. to pay $1.086 billion in criminal fines and $450 million in criminal forfeiture for misleading doctors about the safety of its opioid medication Opana ER with INTAC. The U.S. Department of Justice stated that this is the second-largest set of criminal financial penalties ever levied against a pharmaceutical company for violations of the Federal Food, Drug and Cosmetic Act.

Endo Health Solutions, which previously filed for bankruptcy, admitted during its guilty plea last month that certain sales managers were aware of sales representatives making false claims about Opana ER’s abuse deterrence, tamper resistance and crush resistance when marketing the drug to prescribers. The company also acknowledged that some sales representatives demonstrated the supposed crush-proof and tamper-resistant properties of Opana ER by striking non-medicated sample pills with hammers.

“The opioid crisis we continue to face today originated, in part, from companies like EHSI building their business on false claims and deceptive business practices,” DEA Administrator Anne Milgram said in a statement, emphasizing that Endo Health Solutions prioritized profits over the health and well-being of the American people by intentionally misrepresenting opioid medications.

Endo Health Solutions’ corporate affiliates emerged from bankruptcy last month, but the company will cease to operate in its existing form and will not emerge from bankruptcy. As part of the confirmed bankruptcy plan, the new company has funded voluntary trusts to settle opioid-related claims, including public trusts that will pay over $450 million to state, municipal and tribal entities to help fund programs to abate the opioid crisis.