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NY finds $1B in hidden transfers by family behind OxyContin

NEW YORK (AP) — The family that owns OxyContin maker Purdue Pharma used Swiss and other hidden accounts to transfer $1 billion to themselves, New York state’s attorney general contends in court papers filed Friday.

New York — asking a judge to enforce subpoenas of companies, banks and advisers to Purdue and its owners, the Sackler family — said it has uncovered the previously unknown wire transfers among family members, entities they control and several financial institutions.

The transfers bolster allegations by New York and other states that the Sacklers worked to shield their wealth in recent years because of mounting worries about legal threats.

Scores of those transactions sent millions of dollars to Mortimer D.A. Sackler, a former member of Purdue’s board and son of one of its founders, according to the filings.

They point to $20 million shifted from a Purdue parent company to Sackler, who then redirected substantial amounts to shell companies that own family homes in Manhattan and the Hamptons. Another $64 million in transfers to Sackler came from a previously unknown family trust, using a Swiss account, prosecutors said in their filing.

Representatives for the branch of the family that includes Mortimer D.A. Sackler did not immediately respond to requests for comment.

The filing, made in a New York court, follows decisions by that state and others to reject a tentative settlement with Stamford, Connecticut-based Purdue, announced this week, arguing it does not do enough to make amends for the company’s and family’s alleged roles in flooding U.S. communities with prescription painkillers.

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