McKinsey to pay $573m to settle charges of fuelling US opioid crisis

WASHINGTON: Global consulting firm McKinsey will pay $573 million to US states to settle claims that it contributed to the deadly opioid crisis through its advice to pharmaceutical giants, including OxyContin manufacturer Purdue Pharma.

The settlement is rare in the history of the massive firm that advertises its ability to solve problems worldwide, but has found itself accused of having a hand in creating a massive public health crisis in the United States.

Under the terms of the settlement announced Thursday, McKinsey will not admit fault, and the agreement protects the company from future civil claims.

However, McKinsey will have to discontinue consulting work on some narcotics, implement a new ethics code, release documents related to their work with Purdue while ensuring none is destroyed, said New York Attorney General Letitia James, who announced the settlement.

“Under the terms of today’s agreement, the company will finally end its illegal conduct, deliver more than half a billion dollars into communities across the nation and will never be able to help perpetrate this type of fraud and deception again,” James said.

New York was among the group of 47 states, five territories and the District of Columbia that sued the firm over its work with Purdue Pharma, which last year pleaded guilty to criminal charges over the production and sale of prescription opioid OxyContin.