Frier Levitt Obtains Withdrawal of Controlled Substance Record-Keeping Violations for South Carolina Pharmacy

Frier Levitt successfully reversed findings issued by the State Department of Health against a South Carolina-based pharmacy. After an audit, the State asserted allegations of controlled substance record-keeping violations against the pharmacy. Under Frier Levitt’s guidance, the pharmacy gathered evidence to show that either the violations were not supported or were extremely minor.  Frier Levitt attorneys Matthew Modafferi and Martha Rumore submitted policies and practices for the pharmacy to employ and implement a corrective action plan to prevent any future violations.  After receiving the response, the State concurred with the pharmacy’s efforts, subsequently dropping the allegations without imposing any penalties or administrative fines.

Routine audits conducted by a state’s Department of Health (DOH) and the federal Drug Enforcement Agency (DEA) often serve as a tool to ensure accurate accounting of controlled substances and to deter and prevent the diversion..  Pharmacies can be subject to hefty fines or even revocation of a license for not complying with state and federal laws regarding controlled substance record-keeping.  Therefore, pharmacies must implement policies and procedures designed to keep an accurate inventory and retain the types of documents requested during audits to avoid any unwarranted violations.

In addition, when faced with adverse findings from a state or DEA audit, pharmacies must ensure they have the documentation and understanding of the law to combat the findings, regardless of the amount at issue. Critically, failure to contest, correct, and rectify audit findings, even ones that involve minor record-keeping violations or a seemingly small monetary fine, could lead to a license termination, a termination from a PBM’s network, or a supplier not willing to sell controlled substances to the pharmacy. By retaining legal representation and taking prompt action, pharmacies not only protect themselves from significant economic and reputational harm but also ensure uninterrupted services to their patients.

How Frier Levitt Can Help

If your pharmacy has recently had a state or DEA audit or has received findings related to an audit, Frier Levitt can help you.  If you have any questions or need help fighting an audit, contact us to speak to an attorney.

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