STAT: Insys Therapeutics, opioid maker implicated in major kickback scheme, files for bankruptcy

Insys Therapeutics (INSY) announced Monday it had filed for bankruptcy and will sell most of its assets, just days after agreeing to pay $225 million to settle charges of bribing doctors to boost prescriptions of its addictive painkiller.

The filing, which was widely signaled, also comes weeks after a federal jury in Boston convicted Insys founder and former billionaire John Kapoor, along with four other former executives, of racketeering charges that contributed to the opioid crisis ravaging the U.S.

The move marks a striking reversal of fortunes for a company that reportedly was responsible for the best-performing initial public stock offering in 2013. However, its controversial business practices — which federal prosecutors charged were engineered by Kapoor — have led to its undoing.

Link: https://www.statnews.com/pharmalot/2019/06/10/insys-opioids-bankruptcy-subsys/