Tag Archives: controlled substances act

Major Drug Distributor to Pay Record Fine

By Jennifer Keiper, WLS-AM 890 News

(CHICAGO) One of the nation’s largest distributors of pharmaceutical drugs has agreed to pay a record $150 million in civil penalties for alleged violations of the Controlled Substances Act.

The Justice Department says the nationwide settlement reached with McKesson requires the drug company to suspend sales of controlled substances from distribution centers in Colorado, Ohio, Michigan and Florida for multiple years.

Feds alleged that McKesson didn’t have an effective system to detect and report “suspicious orders” for controlled substances, including Oxycodone and Hydrocodone, distributed to its independent and small chain pharmacy customers.

The DEA Field Division here in Chicago, as well as the U-S Attorney’s Office in Chicago, were involved in the investigation.

In addition to monetary penalties and suspensions, McKesson has agreed to specific, rigorous staffing and organizational improvements, periodic auditing, and will be required to have an independent monitor to assess compliance.