$18 Million Seized from Compounding Pharmacy Blamed for Meningitis Outbreak

Article

A co-founder of the Massachusetts compounding pharmacy embroiled in controversy after its products allegedly led to a deadly meningitis outbreak is taking a financial hit, as authorities have seized more than $18 million from 13 different financial institutions.

A co-founder of the Massachusetts compounding pharmacy embroiled in controversy after its products allegedly led to a deadly meningitis outbreak is taking a financial hit, as authorities have seized more than $18 million from 13 different financial institutions.

The Associated Press (AP) reported that approximately $16.8 million was frozen in accounts related to co-founder Douglas Conigliaro and his wife, Carla, who was a majority shareholder of the New England Compounding Center.

US Attorney Carmen Ortiz claimed that the Conigliaros transferred millions of dollars while the company was surrendering its license, and shortly before it filed for bankruptcy. Despite the bankruptcy court’s orders to stop all transfers of assets, the Conigliaros continued to transfer millions, the AP reported.

The compounding pharmacy’s other co-founder, Barry Cadden, who is accused of second-degree murder, had $1.5 million seized by authorities, as well.

In addition to the 2 co-founders, 12 other former employees have been arrested for allegedly distributing tainted drugs that caused a fungal meningitis outbreak in 2012 and killed 64 individuals. The employees’ charges include mail fraud and the introduction of adulterated and misbranded drugs into interstate commerce.

Related Videos
Female Pharmacist Holding Tablet PC - Image credit: Tyler Olson | stock.adobe.com
African American male pharmacist using digital tablet during inventory in pharmacy - Image credit: sofiko14 | stock.adobe.com
Young woman using smart phone,Social media concept. - Image credit: Urupong | stock.adobe.com
selling mental health medication to man at pharmacy | Image Credit: Syda Productions - stock.adobe.com
Medicine tablets on counting tray with counting spatula at pharmacy | Image Credit: sutlafk - stock.adobe.com
Concept of health care, pharmaceutical business, drug prices, pharmacy, medicine and economics | Image Credit: Oleg - stock.adobe.com
Image credit: rawpixel.com | stock.adobe.com
Medical team -- Image credit: Flamingo Images | stock.adobe.com
© 2024 MJH Life Sciences

All rights reserved.