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Mass. Judge Freezes Pharmacy Owners’ Assets

Steroidlab

By JAY LINDSAY, Associated Press

BOSTON (AP) — A bankruptcy court judge has frozen the assets of the owners of a Massachusetts pharmacy blamed for a deadly meningitis outbreak.

Judge Henry Boroff’s order forbids the owners of the New England Compounding Center from spending or moving their assets, except to pay living expenses or legal bills.

Friday’s order came on request of a creditors’ committee and applies to owners Barry Cadden, Lisa Cadden, Greg Conigliaro and Carla Conigliaro.

The creditors asked the court to freeze the assets, citing concerns they’d be depleted before creditors get paid. The meningitis outbreak was discovered in Tennessee in September and is blamed for 44 deaths, and the owners face dozens of lawsuits.

The Framingham-based company claims $400,000 in net assets. It filed for bankruptcy in December, saying it wanted to set up a compensation fund for victims.