What did Purdue admit to in 2007?
A felony misbranding plea and $634.5 million in combined fines — roughly 90% of OxyContin profits during the offence period — yet none of the three executives who also pleaded went to prison.
In May 2007, The Purdue Frederick Company and three senior executives pleaded guilty to misbranding OxyContin. Under the plea, Purdue and the three executives paid a combined $634,515,475. The company admitted it had fraudulently marketed OxyContin by falsely claiming it was less addictive, less subject to abuse and less likely to cause withdrawal than other pain medications, with no medical research to support those claims.
The company pleaded to a felony; its president, chief legal officer and former chief medical officer pleaded to misdemeanours. The US Attorney later told the Senate that the executives were placed on three years' probation, ordered to perform 400 hours of community service and paid $34.5 million, and that the company's payment equalled about 90% of its OxyContin profit during the offence period. None went to prison, which critics later cited as a failure of deterrence.