Purdue Pharma was ordered by a federal judge Tuesday to pay $5.5 billion after admitting it misled regulators and boosted sales of its pain drug OxyContin.
The ruling marks a major step in holding the company accountable for its role in the US opioid epidemic.
The sentence follows Purdue's 2020 guilty plea, where the company admitted it deceived federal agencies and paid doctors to increase opioid prescriptions.
Court records showed Purdue falsely claimed its monitoring programs were effective and used speaker programs to offer illegal payments to doctors.
Acting Attorney General Todd Blanche said the company chose profit over safety. "Purdue Pharma put profits over patient health and safety," he stated, adding that its actions helped fuel a crisis that harmed families across the country, FoxBusiness reported.
FBI Director Kash Patel echoed the concern, calling the opioid epidemic a "plague" and accusing Purdue of ignoring risks to patients while chasing profits.
US District Judge Madeline Cox Arleo handed down the sentence in New Jersey. She ordered $3.544 billion in fines and $2 billion in forfeitures.
The judge also required Purdue Chairman Steve Miller to apologize directly to victims present in court.
🚨 Opioid Manufacturer Purdue Pharma Sentenced for Fraud and Kickback Conspiracies
— U.S. Department of Justice (@TheJusticeDept) April 29, 2026
Opioid manufacturer Purdue Pharma LP was sentenced today in federal court in Newark, New Jersey, and ordered to pay criminal penalties of over $5 BILLION for its role in fueling the opioid… pic.twitter.com/K31WDyUnvQ
Purdue Punishment Falls Short
During the hearing, victims and families shared emotional stories. Some described losing loved ones to addiction, while others said the punishment did not go far enough. One parent argued that fines alone make wrongdoing seem "legal for a price."
Miller told the court, "We are deeply apologetic... and accept responsibility." Still, many victims expressed frustration, saying justice felt incomplete.
According to CNBC, Judge Arleo acknowledged limits in the legal system. "Your government failed you," she told victims, noting missed chances to stop the company earlier.
The sentencing clears the way for Purdue to complete its bankruptcy process.
The company plans to shut down operations by May 1, 2026, and transfer its assets to a new entity, Knoa Pharma, which will handle medications moving forward.
Most of the $5.5 billion may not be fully collected. The government is expected to receive about $225 million, while the rest will go toward compensating states and communities dealing with the opioid crisis.
Originally published on vcpost.com
