November 19, 2008 - 07:49
     
Physicians guilty of internet prescription fraud
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2008
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Two physicians, including one who worked at Fannin Regional Hospital, recently pled guilty in an Internet pharmacy business that generated more than $236 million in revenue.

Two physicians, including one who worked at Fannin Regional Hospital, recently pled guilty to conspiracy for their participation in an Internet pharmacy business that generated more than $236 million in revenue from the illegal sale of prescription drugs.

Chandresh Shah, M.D., 51, of Smyrna GA, pleaded guilty in U.S. District Court in San Diego to one count of conspiracy to illegally distribute controlled substances. He agreed to forfeit $16,674, according to the Department of Justice. Gerald Morris, M.D., 37, of Houston, also pleaded guilty to one count of conspiracy and agreed to forfeit $52,446.

Shah, who was an internal medicine specialist at Fannin Regional, was removed from the staff.

He and Morris were indicted on July 27, along with 16 other defendants for their role in Affpower, an international online network that sold controlled and non-controlled prescription drugs to customers who lacked prescriptions from a personal physician. They admitted that Affpower doctors conducted no physical or mental examinations before issuing prescriptions and had no doctor-patient relationship with the customers.

Sentencing for Shah is scheduled for April 20, 2009. Shah and Morris face a maximum of five years in prison and $250,000 fines for conspiracy to illegally distribute controlled substances.

Seven other defendants have already pleaded guilty. Trial for the rest is set for Feb. 24, 2009.

Kenneth Kaiser, FBI Criminal Investigative Division said, “These individuals participated in a scheme for their own financial benefit by preying upon the vulnerabilities of patients seeking to purchase prescription medications. U.S. Attorney Karen P. Hewitt said the public deserved to deal with physicians and pharmacists who honestly and professionally work to guard people’s health. “These convicted defendants sold that immense responsibility with which they were entrusted.”


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