The judge overseeing the bankruptcy case of OxyContin maker Purdue Pharma will consider Wednesday whether the company’s chief executive should get a bonus equal to half his $2.6-million salary. “Purdue should not award bonus payments to Landau before resolving the allegations that Landau committed deadly, illegal misconduct,” the states said in a filing this week. Whether troubled companies should be allowed to pay bonuses to executives and other key employees is a common topic debated during bankruptcy proceedings. In 2009, a judge ruled that Lehman Bros., the investment bank, could pay 230 traders bonuses totaling $50 million to keep working through that company’s bankruptcy. It’s unclear whether bankruptcy Judge Robert Drain will make a determination on the bonuses or issue a decision later.

Source: Los Angeles Times December 04, 2019 18:45 UTC