CEO of opioid manufacturing company Insys arrested on fraud charges
Schemes designed to up sales of Subsys, suit says
9:57 AM, Oct 26, 2017
PHOENIX, Arizona — The founder and majority owner of an Arizona pharmaceutical company and opioid manufacturer has been arrested.
On Thursday morning, John Kapoor, the founder and CEO of Insys, was arrested in Phoenix, according to the US Attorney's Office. The 74-year-old was arrested on charges of racketeering, conspiracy and fraud.
Kapoor is expected to appear in federal court in Phoenix on Thursday, the US Attorney's Office says.
Attorney General Mark Brnovich filed the lawsuit seeking an injunction to stop Insys from continuing false representations. He wants the company to provide restitution for patients and wants disgorgement of all profits and gains from the alleged illegal conduct.