Settlement Seeks $100M Fund for Meningitis Victims

By: Associated Press
By: Associated Press

BOSTON (AP) -- A settlement that could result in a $100 million fund for victims of a nationwide meningitis outbreak linked to a Massachusetts pharmacy has been reached.

The agreement between the owners and insurers of New England Compounding Center and a court-appointed bankruptcy trustee was filed Tuesday with a U.S. bankruptcy court.

The settlement must be approved by a judge. It calls for the pharmacy's owners to pay $50 million into the fund, with insurers contributing another $25 million. Lawyers say tax refunds and the sale of an affiliated company would push the total above $100 million.

The outbreak was blamed on a tainted steroid. Federal official say it sickened 750 people in 20 states, with 64 deaths. Michigan, Tennessee and Indiana were hit the hardest.

An attorney representing victims calls the settlement an important step toward fair compensation.

(Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)


WBKO.com is happy to provide a forum for commenting and discussion. Please respect and abide by the house rules:

Keep it clean, keep it civil, keep it truthful, stay on topic, be responsible, no links, share your knowledge, and please suggest removal of comments that violate these standards.

powered by Disqus
WBKO 2727 Russellville Road Bowling Green, KY 42101-3976 Phone: 270-781-1313 After Hours Hotline: 270-781-6397 Fax: 270-781-1814
Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 258198151 - wbko.com/a?a=258198151
Gray Television, Inc.