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R&S Drug Stores, Inc, Controlled Substance Act Violations, Oklahoma 2016

A Duncan, Oklahoma pharmacy has coughed up $50,000 in civil penalties after federal investigators exposed a pattern of reckless disregard for controlled substance regulations. R&S Drug Stores, Inc., operator of three local pharmacies, failed to maintain proper records, transferred powerful narcotics between locations without documentation, and allowed prescriptions to be dispensed under false names and DEA numbers, according to the U.S. Attorney’s Office.

The violations spanned two years—from August 1, 2014, to August 31, 2016—and exposed dangerous gaps in oversight at the Oklahoma corporation. Under the Controlled Substances Act (CSA), all DEA-registered entities must keep meticulous records of every controlled substance they receive, dispense, or transfer. R&S Drug didn’t just cut corners—it ignored federal mandates outright, including failing to conduct a biennial inventory, a basic safeguard meant to prevent drug diversion.

Investigators from the Drug Enforcement Administration’s Office of Diversion Control uncovered that pharmacists at R&S Drug issued orders for Schedule I and II substances without valid powers of attorney, effectively operating outside the law. Drugs like oxycodone, fentanyl, and Adderall—high-risk for abuse and trafficking—were moved and dispensed with no paper trail, making it impossible to track whether they reached legitimate patients or disappeared into the black market.

The CSA exists to stop precisely this kind of systemic failure. Passed by Congress to combat the epidemic of prescription drug abuse, it demands strict accountability from pharmacies. Yet R&S Drug treated federal regulations as optional—at least until the DEA’s Oklahoma City District Office Diversion Group came knocking. The office’s probe laid bare a corporate culture of negligence that could have fueled addiction and crime in Stephens County.

To avoid a protracted legal fight, R&S Drug agreed to pay $50,000 in civil penalties. No admission of liability was made. The government, for its part, didn’t back down on the strength of its case. The settlement lets both sides sidestep the cost and chaos of trial, but it doesn’t erase the reality: a pharmacy entrusted with public safety repeatedly failed its most basic duty.

Assistant U.S. Attorney Ronald R. Gallegos handled the prosecution. The case serves as a stark reminder: even legal drug distributors can become vectors of harm when they ignore the rules. In Oklahoma, where opioid deaths continue to climb, every broken link in the chain matters.

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