The New England Compounding Center (NECC), the pharmacy linked to a deadly outbreak of fungal meningitis, filed for bankruptcy last month, seeking protection after U.S. authorities shut down its operations. Filings in U.S. Bankruptcy Court reveal that the NECC’s four primary owners received at least a combined $16 million in 2012 from their salaries and shareholder distributions. Perhaps if they’d put some of that money back into the pharmacy, it wouldn’t have gone bankrupt.
In addition to some very fat stacks of cash (largest shareholder Carla Conigliaro received almost $9 million in 2012), the NECC made lease payments on two cars—a 2012 BMW X5 and a 2011 Mercedes Benz GL-550. It also paid $18,000 on Conigliaro’s American Express card to cover purchases at restaurants and the Apple Store, among other places.