News - Local
CVS Pharmacy fined $75 million
Posted: Oct 14, 2010 11:32 AM by Greg Boyce
LOS ANGELES (AP) - Federal prosecutors say CVS Pharmacy Inc. has agreed to pay $75 million in fines for allowing repeated purchases of a key methamphetamine ingredient that led to a spike in Southern California drug trafficking. Prosecutors say it is the largest civil penalty under the Controlled Substances Act. CVS, the nation's largest operator of retail pharmacies, will also forfeit about $2.6 million in profits from pseudoephedrine.
Authorities said Thursday that CVS didn't adequately monitor sales of pseudoephedrine, which is found in cold medicine and is used to make meth.
They also said the company violated federal drug regulations in at least five states. CVS Chairman and CEO Thomas Ryan says the company unacceptably breached its policies and has worked to fix the problem.
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