Bankrupt firm's owners took out millions

[No Elephants]

Bankrupt firm's owners took out millions

Published: Jan. 22, 2013 at 8:00 PM

FRAMINGHAM, Mass., Jan. 22 (UPI) -- Owners of a bankrupt Massachusetts pharmacy blamed for a deadly meningitis outbreak got millions of dollars in pay and profits last year, court records show.

The records reveal four family members who co-founded New England Compounding Center in Framingham took out more than $16 million in salary and profits from December 2011 through November 2012, The Boston Globe reported Tuesday. The total is about half the company's sales during the period, the newspaper said.

The compounding pharmaceutical company shut down in early October and filed for Chapter 11 bankruptcy in late December.

Word of the amount received by the owners left an attorney representing unsecured creditors in "shock and amazement."

"It's tremendously unusual," credits committee attorney William R. Baldiga said. "This is not a large company."

The fungal meningitis outbreak linked to the firm has left at least 44 people dead and 678 ill in 19 states, the Centers for Disease Control and Prevention in Atlanta says. The victims had received steroid shots to treat back problems.

Read more: http://www.upi.com/Business_News/2013/01/22/Bankrupt-firms-owners-took-out-millions/UPI-33431358902806/#ixzz2ImGzm2My


Damned those students, getting themselves $200K in debt just to get an education in America anymore and then abusing the system by declaring bankruptcy. We outlawed that, ok.

But it looks like we left a tiny loophole for executive owners of small companies that kill negligently.

[Enthusiast]

1. This is an example of government by Republicans.

They have so destroyed the notion of fair play in this nation. We now have extra fair play and justice on behalf of the wealthy powerful, but no concern or compassion for "we the regular people". I guess this is what happens when we get rid of those intrusive government regulations. Will we ever emerge from the mire they have created? It is a return to the social justice values of the 19th Century.

[No Elephants]

3. I am not sure which government you are referring to.

Democrats have held the Senate since at least 2006 and the Presidency since 2008.

And, though bankruptcy law is federal, this occurs in Massachusetts, where a Democrat has been Governor since 2006.

[Divine Discontent]

2. as said above - this is what republican governing brings!

and it's deadly....