Forfeitures Ordered Against NECC Defendants

By Walter F. Roche Jr.


The majority owner of the drug compounding firm blamed for a deadly outbreak and her husband have forfeited an additional $124,068.75 following their sentencing Wednesday in U.S. District Court in Boston, Mass.
Court records show the forfeiture orders were signed by U.S. District Judge Richard G. Stearns at the same time he imposed fines and probation for Carla and Douglas Conigliaro. Both had entered guilty pleas to one count of structuring bank withdrawals to avoid a report being filed with the federal government.
The forfeiture order against Douglas Conigliaro was for $119,467.60. His wife forfeited  $4,600.75. The two were also fined a total of $59,500.
Carla Conigliaro was the majority owner of the New England Compounding Center, the Framingham, Mass. firm blamed for the 2012 fungal meningitis outbreak that killed 77 patients and sickened another 701.
According to court records the Conigliaros made a flurry of withdrawals from bank accounts in the midst of a federal grand jury investigation of the outbreak.
Stearns imposed no jail time but ordered a year of probation for Carla Conigliaro and two years probation for Douglas.
The sentence conformed to a plea agreement with the two defendants under which more serious charges were dropped.
Federal prosecutors say that despite her majority ownership, Carla Conigliaro was not involved in the day to day operations of NECC. State and federal regulators concluded that fungus ridden steroids shipped by NECC caused the deadly outbreak.
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