News Release
FOR IMMEDIATE RELEASE
August 7, 2006
Hospital
Pays US $750,000 For Regulatory Violations Of The
Comprehensive Drug Abuse Prevention And Control Act
AUG 07 --
(HOUSTON, TX.) St. Joseph Regional Health Center, which serves the
Brazos Valley area, has entered into a Stipulated Agreement to pay
the United States $750,000 to resolve numerous alleged regulatory violations
of the Comprehensive Drug Abuse Prevention and Control Act, United
States Attorney Don DeGabrielle announced today. St. Joseph Regional
Health Center is based in Bryan, Texas.
A series of calls
expressing concern that St. Joseph Regional Health Center (hereinafter “St.
Joseph) was failing to comply with regulations pertaining to the monitoring
and maintenance of controlled substances brought the hospital to the
attention and under the scrutiny of the Drug Enforcement Administration,
Houston Field Division, Diversion Control Program investigators in
February 2002. Exercising its administrative authority to review pharmaceutical
records pertaining to the dispensing of controlled substances, investigators
of the DEA Diversion Control Program, executed an Administrative Inspection
Warrant at St. Joseph, seized records and conducted an audit of controlled
substances for the time period beginning in May 2000 through March
12, 2003. The audit confirmed St. Joseph’s failure to keep adequate
records as required by law, and the case was referred to the U.S. Attorney’s
Office for civil prosecution.
While not admitting
liability, St. Joseph Regional Health Center today paid $750,000 to
the United States per the terms of the agreement. The United States,
in turn, has agreed not to file a civil complaint which would have
alleged that during the period of January 1999 through December 31,
2002, St Joseph had failed to make, keep or furnish records and reports
of what controlled substances the pharmacy received and dispensed;
that controlled substances were prescribed for non-legitimate medical
purposes; and lastly, that the hospital shipped Schedule II controlled
substances to an offsite location without the requisite DEA form, all
in violation of the regulations promulgated under the Comprehensive
Drug Abuse Prevention and Control Act of 1970 (hereinafter “The
Act”). Additionally, St. Joseph acknowledges it is aware of the
provisions of the Act and agrees to full compliance with the Act and
its regulations henceforth.
The United States
was represented by Assistant United States Attorney Jill O. Venezia
of the Civil Division.
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