Product News and Recalls

Meningitis pharmacy owners got $16 million

The owners of a specialty pharmacy blamed for a deadly fungal meningitis outbreak got more than $16 million from the business last year – which accounts for about half of its sales.

The Boston Globe, citing bankruptcy records, reports that four family members who co-founded the New England Compounding Center also ran up expenses on corporate American Express cards totaling $90,000, including charges made after the company shut down in October.

The federal Centers for Disease Control and Prevention reports that the meningitis outbreak has sickened 678 people and killed 44 in 19 states. It’s been traced back to a contaminated steroid medication from the NECC, which is commonly used to treat back pain.

Meningitis is an inflammation of the tissue surrounding the brain and spinal cord.

After the outbreak was reported in September, state and federal inspectors reported unsanitary conditions at the NECC. The Boston Globe reports that lawyers representing victims have filed hundreds of lawsuits and estimate the potential damages are likely to total hundreds of millions of dollars.

According to the story, the NECC’s revenue skyrocketed in recent years, jumping 37 percent from $19.9 million in 2010 to $27.3 million in 2011. Despite the shutdown, the company took in $32.4 million in sales last year.

Lopez McHugh is investigating cases related to this outbreak. If you or a loved one had an injection and were diagnosed with meningitis, you should consult with a Lopez McHugh lawyer for a free consultation.

See the story here:

http://www.boston.com/news/local/massachusetts/2013/01/22/new-england-compounding-center-paid-owners-more-than-million-last-year/SzGv3MGoDFFkE44GeqGEAM/story.html