Mallinckrodt filed for Chapter 11 protection
There is lack of investors in highly controversial business
The American drug manufacturer Mallinckrodt has filed for bankruptcy protection. The opiate maker has thousands of claims on his pants from people who have become addicted to painkillers.
By carrying out the so-called Chapter 11 bankruptcy procedure, the company can proceed while it solves the court cases. In almost all US states, cases are coming up against the company, which would have benefited from the ‘opiates epidemic’ that the pharmaceutical industry itself has been fueling.
In addition, Mallinckrodt had no reserves to cover the enormous backlash made by the opiate affair. Restructuring was also necessary according to the shareholders and other interested parties in the company.
Countless Americans have become addicted to morphine-like substances like oxycodone and fentanyl in recent years. Every year, tens of thousands of people in the United States are killed by excessive use of prescription drugs of this group. Companies would have flooded the market with resources and played down the risks to users.