Settlement seeks $100M fund for meningitis victims

by Bob Salsberg

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 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 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.

not rated yet
add to favorites email to friend print save as pdf

Related Stories

$100 mln deal agreed over US meningitis outbreak

Dec 24, 2013

The owners and insurers of a bankrupt pharmacy at the center of a deadly US meningitis outbreak have reached a tentative agreement to pay more than $100 million to compensate victims, US media reported Tuesday.

Senate questions pharmacy boards after outbreak

Nov 19, 2012

(AP)—A Senate committee investigating a deadly outbreak of meningitis wants to know how regulators in all 50 states oversee specialty pharmacies like the one that triggered the illness.

Recommended for you

Mali announces new Ebola case

13 hours ago

Mali announced Saturday a new case of Ebola in a man who is fighting for his life in an intensive care unit in the capital Bamako.

Plague outbreak kills 40 in Madagascar: WHO

13 hours ago

An outbreak of plague has killed 40 people in Madagascar, the World Health Organization said, warning that the disease could spread rapidly in the country's densely populated capital Antananarivo.

UN chief: Ebola cases in Mali a 'deep concern'

Nov 21, 2014

The United Nations chief warned Friday that Ebola may be easing in part of West Africa but is still hitting hard in other areas and outpacing the international response.

User comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.