On Oct. 15, FDA
issued an advisory
that a patient
might have
acquired fungal
meningitis from a
different NECC
steroid injection, triamcinolone acetonide. In addition, the FDA reported
a transplant patient with an Aspergillus fumigatus infection who'd
received a NECC cardioplegic solution during surgery.
At a House Committee on Energy and Commerce hearing titled,
"The Fungal Meningitis Outbreak: Could It Have Been Prevented?"
Mr. Cadden was called to testify. He took the stand but repeatedly
took the Fifth. Never once did he apologize or express sorrow.
Belly up
NECC filed for Chapter 11 bankruptcy on Dec. 21, 2012. More than
3,000 people had filed claims and about 686 had filed suits against
NECC on the basis that they or their family members were harmed,
had died or were otherwise affected by NECC's products. At the time
of filing, NECC, which was no longer operating, had only $1.3 million
in the books, not even enough to pay the bankruptcy lawyers. In the
previous year, as investigations swirled around it, NECC had trans-
ferred $21 million to the Conigliaros and Caddens. The Caddens got
$6 million, Lisa Conigliaro got almost $9 million, Greg got $1.5 million
and Medical Sales Management, run by Doug, got $4.1 million.
They would give that much back, and then some. Chapter 11
Trustee Paul D. Moore negotiated with NECC shareholders and insur-
ers as well as medical providers and their insurers. In the end he sub-
mitted a widely praised plan making available $211 million to NECC's
creditors. NECC shareholders contributed $47.5 million to the fund.
J U L Y 2 0 1 6 • O U T PA T I E N TS U R G E R Y. N E T • 1 6 3
When
customers
refused
to
provide
prescriptions
for
their
orders,
NECC
submitted
phony
names:
Big
Baby
Jesus,
Roy
Rogers,
L.L.
Bean
and
Filet-O-Fish.
