Sutter Facilities Pay $3.2M

⏱ 2 min read

Sutter Medical Center, Sacramento, and Sutter Fairfield Surgery Center have been caught in a shocking case of negligence, failing to effectively guard against theft and diversion of controlled substances, leading to at least 628 violations of recordkeeping and security requirements under the Controlled Substances Act (CSA). The investigation was initiated following the death of a pediatric anesthesiologist, sparking a probe into the entities’ handling of controlled substances. The alleged violations occurred in Sacramento, California, and the settlement was announced by U.S. Attorney Eric Grant.

The United States contends that these two Sutter-affiliated entities violated the CSA by, among other violations, failing to notify the Drug Enforcement Administration (DEA) of theft or loss, keep accurate records of controlled substances, complete biennial inventories, maintain complete controlled substance order records, and provide effective controls against diversion.

The DEA conducted the investigation, which led to a settlement agreement where Sutter Facilities agreed to pay $3.2 million to resolve the allegations. U.S. Attorney Grant stated that the community deserves to trust healthcare providers that dispense controlled substances and adhere to the right safeguards to ensure safety.

DEA Special Agent in Charge Bob P. Beris of the San Francisco Field Division emphasized that DEA registrants play a critical role in protecting the public and that responsibility starts with strict compliance to the Code of Federal Regulations. The settlement serves as a reminder that healthcare providers must prioritize the safety and security of controlled substances to prevent diversion and protect the community.