US Orders Puerto Rico Drug Distribution Company To Pay $12 Million Over Reporting Violations

The United States Justice Department ordered Drogueria Betances, one of Puerto Rico's biggest drug distributors, to pay $12 million on Monday for not reporting nearly 800 suspicious orders for controlled substances.

The company allegedly did not report at least 655 orders for fentanyl and a minimum of 113 orders for oxycodone from 2016 to 2019. These orders were given in different frequencies and quantities, the Justice Department said.

Drogueria Betances was accused of committing record-keeping violations and failing to provide distribution reports to the U.S. Drug Enforcement Administration from May 2017 to July 2018.

Now the company has been told to work on its compliance program and make sure to report all suspicious orders to the Drug Enforcement Administration.

Juan Carlos Hernández, president of Drogueria Betances, agreed to pay the hefty fine and assured that the company would work on its report system. However, he rejected allegations of an inefficient system of keeping track of suspicious orders.

"Over the past years, we have made million-dollar investments in technology and external advice to ensure strict compliance with the laws and regulations that apply to controlled medications," he said, as per AP News.

Hernández also made it clear that Drogueria Betances was never accused of distributing controlled drugs to any unauthorized entities or individuals.

The U.S. government filed the complaint against the company following a surge in fatal opioid-related overdoses within the U.S. territory, which reportedly claimed the lives of 3.2 million people.

As far as the judgment is concerned, the company has to pay the $12 million fine over five years.

Principal Deputy Attorney General Brian M. Boynton, head of the Justice Department's Civil Division, said companies responsible for distributing such controlled drugs have an "important responsibility to help stop the illegal distribution of controlled substances by reporting suspicious orders to DEA," according to FirstWord Pharma.

"The department will continue to work with its law enforcement partners to hold accountable those who fail to fulfill their reporting obligations," he added.

Meanwhile, U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico said it is the company's duty under the Controlled Substance Act to ensure "the safety of our citizens from potential harm, including those associated with drug diversion, drug tampering and drug overdoses resulting from illegal drug sales and consumption."