--- description: New England Compounding Pharmacy, responsible for a 2012 U.S. meningitis outbreak, will pay $100 million to insurers and victims. The company had produced tainted drugs responsible for the 2012 nationwide meningitis outbreak that killed 64 people title: Pharma Company Behind Meningitis Outbreak to Pay $100 Million image: https://static.time.com/v3/assets/bltea6093859af6183b/bltde093bcdab65f2d0/6988d9b9bc6cfc69913e2a3c/time-logo.jpg?branch=production --- * [U.S.](/section/us/) ## U.S. Update your preferences in [Account Settings](/account/preferences/) Close * [Health Care](/tag/health-care/) ## Health Care Update your preferences in [Account Settings](/account/preferences/) Close # Pharma Company Behind Meningitis Outbreak to Shell Out $100 Million by [David Stout](/author/david-stout/) ## David Stout Update your preferences in [Account Settings](/account/preferences/) Close May 7, 2014 6:15 AM CUT by [David Stout](/author/david-stout/) ## David Stout Update your preferences in [Account Settings](/account/preferences/) Close May 7, 2014 6:15 AM CUT Attorneys in New England reached a proposed [$100 million settlement](http://www.businessweek.com/news/2014-05-06/new-england-compounding-pharmacy-in-100-million-settlement-1 "undefined") on Tuesday with the owners of the pharmaceutical operation that produced tainted drugs responsible for the 2012 nationwide meningitis outbreak that killed 64 people. The $100 million deal will provide compensation to insurers and victims of the outbreak in accordance with a Chapter 11 plan filed by the owners of New England Compounding Pharmacy Inc., according to Bloomberg. The outbreak, which infected more than 700 people, was largely blamed on a steroid administered by spinal injection that was produced by the company. A judge [must still approve](http://www.bostonglobe.com/metro/2014/05/06/lawyers-reach-million-settlement-with-owners-and-insurers-for-framingham-pharmacy/MDd7lywKzJSqbeesUGBsgL/story.html "undefined") the settlement along with a system that will distribute the funds to victims awaiting compensation. ```json [{"@context":"https://schema.org","@type":"NewsArticle","@id":"https://time.com/90422/pharmaceutical-company-meningitis-compensation/","mainEntityOfPage":{"@type":"WebPage","@id":"https://time.com/90422/pharmaceutical-company-meningitis-compensation/"},"headline":"Pharma Company Behind Meningitis Outbreak to Shell Out $100 Million","datePublished":"2014-05-07T06:15:11.000Z","dateModified":"2026-02-21T07:41:38.986Z","description":"A $100 million settlement was reached on Tuesday, between New England attorneys and a pharmaceutical company that produced tainted drugs responsible for the deadly meningitis outbreak in 2012, to provide compensation to insurers and victims","url":"https://time.com/90422/pharmaceutical-company-meningitis-compensation/","keywords":["Health Care","outbreak","New England"],"thumbnailUrl":"","author":[{"@type":"Person","name":"David Stout","jobTitle":null,"url":"https://time.com/author/david-stout/"}],"articleSection":"U.S.","image":[],"publisher":{"@type":"Organization","name":"Time","url":"https://time.com/","logo":{"@type":"ImageObject","url":"https://time.com/images/logo.png","width":528,"height":156},"foundingDate":"March 3, 1923","sameAs":["https://www.facebook.com/time","https://www.instagram.com/time/?hl=en","https://twitter.com/time","https://www.pinterest.com/timemagazine"]}},{"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"item":{"@id":"/section/us/","name":"U.S."}},{"@type":"ListItem","position":2,"item":{"@id":"/tag/health-care/","name":"Health Care"}},{"@type":"ListItem","position":3,"item":{"@id":"https://time.com/90422/pharmaceutical-company-meningitis-compensation/","name":"Pharma Company Behind Meningitis Outbreak to Shell Out $100 Million"}}]}] ```