Insys Files For Bankruptcy After Paying $225 Million Settlement In US Probe

Insys founder John N. Kapoor center leaves the John Joseph Moakley United States Courthouse in Boston

Last month, a federal jury in Boston found Insys executives guilty of starting and participating in a wide-spread racketeering conspiracy. Its main ingredient, fentanyl, is an opioid 100 times stronger than morphine.

The company would pay a $2m fine and $28m in forfeiture.

In 2012, the Food and Drug Administration (FDA) approved Subsys to treat cancer patients.

An opioid drugmaker whose former executives were convicted last month in a scheme to illegally influence doctors to prescribe its drug and that reached a almost quarter of $1 billion settlement last week is filing for bankruptcy.

The company said throughout the court-supervised Chapter 11 bankruptcy process, it meant to utilise existing cash on hand and operating cash flows to support its continued operations, including payment of all employee wages and benefits without interruption and continuing programmes offered to customers. The spray is mainly used to alleviate pain in cancer patients.

According to court documents, Kapoor along with other Insys executives had conducted sham events to promote their products. They used this information to reduce or eliminate bribes paid to practitioners who failed to meet satisfactory prescribing requirements, which they determined to be the net revenue equal to at least twice the amount of bribes paid to the practitioner. Subsys sales shot up from $8.6 million in 2012 to $329 million in 2015. Through its various schemes and bribes, Insys was able to boost its Subsys sales significantly.

Panic at DC pride parade sends people running
As he was led away in handcuffs, Singh vowed to come back and shoot the person whom he had threatened, police said. "There is NO Active Shooter at Dupont Circle", tweeted Kevin Donahue, deputy mayor for public safety.

The agency recently ramped up its probe into U.S. pharmaceutical company's following President Donald Trump's announcement that the opioid crisis in the United States has become a public health emergency.

Most US states have sued Purdue Pharma LP, the maker of OxyContin, and several have sued members of its controlling Sackler family. Many companies have been sued by states and Indian tribes.

According to the bankruptcy filing, Insys had $175.1 million in assets and about $262.5 million in debts as of March 31st, while shares of Insys fell more than 66 percent to $0.44 following the reveal of its bankruptcy filing.

Among the pieces of evidence presented during the 10-week trial: a five-minute video promoting the fentanyl spray Subsys, featuring an Insys company salesman rapping about prescribing higher drug doses using a process known as "titration".

With drug maker Insys Therapeutics (INSY) filing for Chapter 11 bankruptcy amid corruption charges on Monday, it may not be the only pharmaceutical company that is considering the move.

Related News:



Most liked

You've booked a Dominican Republic vacation. Do you go, or cancel?
Fox News reports Robert Bell Wallace, 67, of California died in April after a visit to the Hard Rock Hotel & Casino in Punta Cana. David Harrison , a Maryland resident, also died previous year at the Hard Rock Hotel & Casino resort, the New York Post reported.

Mi Band 4 Launched with Color AMOLED Display and Voice Assistant Support
As far as connectivity options are concerned, the Mi Band 4 is capable of notifying users about calls, messages and music. In terms of specifications, Mi Band 4 features a 0.95-inch AMOLED display with 2.5D scratch resistant glass on top.

Uber Just Announced Melbourne As The First International 'Uber Air' Test Hub
Victorian government assistant treasurer said the trial is an example of the state's innovation and "transformative technologies". Susan Anderson , regional general manager for Uber Australia, said she expected other Australian cities to adopt the service.

Build-A-Bear’s ‘Pay Your Age’ day is back - with changes
In the "frequently asked questions" section of the website , the company acknowledged changes in this year's event. Ten grand prize winners will also be given a birthday party experience with a retail value of approximately $250.

Social media, former Spurs players react to Tony Parker's retirement
He hinted after the season that he might be done playing, so the retirement announcement did not come as a surprise. " Tony Parker obviously has had an fantastic career", Popovich told reporters on a conference call.

South Africa, Nigeria lose opening Women's World Cup games
Nigeria were hurt when defender Faith Michael was stretchered off after a collision with her keeper early in the second half. Germany will take on China before this Group B game .

Federation Internationale de Football Association 20 is out in September with a focus on micro skill
The new player versus player formats places your team against others online, where wins lead to promotion into a higher division. EA did, however, reassure players that green timed shots will "still be more accurate than non-timed shots".

Police in Hungary lift capsized tourist boat from Danube
After the incident, the boat had travelled on to Germany before returning to Hungary according to its schedule. State news agency MTI reported that a total of four victims had been found on Tuesday and recovered by divers.

Ortiz back in Boston, taken to local hospital
Fans at walk past a photograph of Boston Red Sox's David Ortiz before a baseball game at Fenway Park in Boston, Oct. 1, 2016. Gonzalez said during a Monday news conference that he anticipates Ortiz making a full recovery with no restrictions.

US Pres. Trump’s "secret" agreement "leaked", reveals a concession for Mexico
The President tweeted Monday, saying tariffs will be reinstated if Mexico's legislature doesn't vote to approve the deal. But Trump has repeatedly suggested there is another secret part of the deal that would require more of Mexico.

Focus on 'ease of living' for common man: Modi tells ministries
Solih's first overseas trip was to India, and since then, several Maldivian ministers have visited India for bilateral talks.

Facebook To Unveil White Paper On Cryptocurrency Next Week
Facebook cryptocurrency will become a powerful force in developing countries where Facebook intends to sell the product. The report also claims that Facebook employees can choose to be paid in cryptocurrency tokens instead of hard cash.

IMD red alert for Cyclone Vayu
It has advised fisher-folk in Lakshadweep, Kerala and Karnataka for not venturing into the sea till 13 June. The wind speed is likely to be 50-60 kmph to 70 kmph over south Gujarat coast on June 12.

10 politicians join race to succeed May as Britain's prime minister
He did not launch his campaign with a high-profile appearance but instead outlined his plans in a newspaper column and interview. The person chosen as leader will automatically become Prime Minister, though Queen Elizabeth II has to approve the appointment.

Trump threatens China with more tariffs if Xi refuses meeting at G20
In his comments to the electronics show, Shao said the company will march on in its development of the technology. But if it insists on escalating trade frictions, we will respond to it with resolution and perseverance".