Mallinckrodt Officers Move Closer to Ending Securities Case

Top officers at Mallinckrodt Public Limited Co. have reached an agreement in principle over a settlement amount in a securities class action that alleged the officers weren’t forthright about problems relating to H.P. Acthar Gel.

Mallinckrodt allegedly knew that Acthar’s prior owners had improperly tried to save money on rebate payments it owed the government, according to a Dec. 2022 order of the US District Court for the District of New Jersey. Mallinckrodt agreed to fix the discrepancy and pay the government $260 million in a settlement, the court said. The officers allegedly also failed to disclose the company was ...