81_FR_6067 81 FR 6044 - Bulk Manufacturer of Controlled Substances Application: Pharmacore, Inc.

81 FR 6044 - Bulk Manufacturer of Controlled Substances Application: Pharmacore, Inc.

DEPARTMENT OF JUSTICE
Drug Enforcement Administration

Federal Register Volume 81, Issue 23 (February 4, 2016)

Page Range6044-6045
FR Document2016-02128

Federal Register, Volume 81 Issue 23 (Thursday, February 4, 2016)
[Federal Register Volume 81, Number 23 (Thursday, February 4, 2016)]
[Notices]
[Pages 6044-6045]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-02128]


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DEPARTMENT OF JUSTICE

Drug Enforcement Administration

[Docket No. DEA-392]


Bulk Manufacturer of Controlled Substances Application: 
Pharmacore, Inc.

ACTION: Notice of application.

-----------------------------------------------------------------------

DATES: Registered bulk manufacturers of the affected basic classes, and 
applicants therefore, may file written comments on or objections to the 
issuance of the proposed registration in accordance with 21 CFR 
1301.33(a) on or before April 4, 2016.

ADDRESSES: Written comments should be sent to: Drug Enforcement 
Administration, Attention: DEA Federal Register Representative/ODW, 
8701 Morrissette Drive, Springfield, Virginia 22152.

SUPPLEMENTARY INFORMATION: The Attorney General has delegated her 
authority under the Controlled Substances Act to the Administrator of

[[Page 6045]]

the Drug Enforcement Administration (DEA), 28 CFR 0.100(b). Authority 
to exercise all necessary functions with respect to the promulgation 
and implementation of 21 CFR part 1301, incident to the registration of 
manufacturers, distributors, dispensers, importers, and exporters of 
controlled substances (other than final orders in connection with 
suspension, denial, or revocation of registration) has been redelegated 
to the Deputy Assistant Administrator of the DEA Office of Diversion 
Control (``Deputy Assistant Administrator'') pursuant to section 7 of 
28 CFR part 0, appendix to subpart R.
    In accordance with 21 CFR 1301.33(a), this is notice that on 
December 3, 2015, Pharmacore, Inc., 4180 Mendenhall Oaks Parkway, High 
Point, North Carolina 27265 applied to be registered as a bulk 
manufacturer of the following basic classes of controlled substances:

------------------------------------------------------------------------
            Controlled substance                       Schedule
------------------------------------------------------------------------
Oxymorphone (9652).........................  II
Noroxymorphone (9668)......................  II
------------------------------------------------------------------------

    The company plans to manufacture the listed controlled substances 
as active pharmaceutical ingredients (APIs) for clinical trials.

    Dated: January 27, 2016.
Louis J. Milione,
Deputy Assistant Administrator.
[FR Doc. 2016-02128 Filed 2-3-16; 8:45 am]
 BILLING CODE 4410-09-P



                                                    6044                         Federal Register / Vol. 81, No. 23 / Thursday, February 4, 2016 / Notices

                                                    Proposed Decision. GX 7, at                             Government. I make the following                      longer authorized to dispense controlled
                                                    Attachments 2 and 3.                                    findings of fact.                                     substances under the laws of the State
                                                       The CALJ then issued a second Order                     Respondent is a physician authorized               in which he practices medicine. See,
                                                    directing Respondent to respond to the                  to handle controlled substances in                    e.g., Calvin Ramsey, 76 FR 20034, 20036
                                                    Government’s Motion to Preclude by                      schedules II through V at the registered              (2011); Sheran Arden Yeates, M.D., 71
                                                    September 22, 2015, the same due date                   address of 99 N. San Antonio Ave.,                    FR 39130, 39131 (2006); Dominick A.
                                                    for Respondent’s reply, if any, to the                  #140, Upland, California. GX 2. His                   Ricci, 58 FR 51104, 51105 (1993); Bobby
                                                    Government’s Motion for Summary                         registration does not expire until May                Watts, 53 FR 11919, 11920 (1988); see
                                                    Disposition. GX 8. This order was also                  31, 2017. Id.                                         also Hooper v. Holder, 481 Fed. Appx.
                                                    sent to Respondent’s address at 2058 N.                    On August 13, 2014, the MBC issued                 at 828.
                                                    Mills Avenue, #142, Claremont,                          an order adopting the Proposed                           Based on the revocation of his
                                                    California. Id. at 2.                                   Decision of a state ALJ and ordered the               California Physician’s and Surgeon’s
                                                       On September 24, the CALJ issued a                   revocation of Respondent’s Physician’s                Certificate, I find that Respondent
                                                    Notice of Re-Service. GX 10. Therein,                   and Surgeon’s License to practice                     currently lacks authority to dispense
                                                    the CALJ explained the all of his prior                 medicine in the State of California,                  controlled substances in California, the
                                                    orders had been sent to Respondent at                   effective September 12, 2014. GX 7, at                State in which he holds his DEA
                                                    the return address listed on the                        9. Based on a search of the MBC’s                     registration. Accordingly, I will order
                                                    envelope the latter had used to mail his                license verification Web page,                        that his registration be revoked and that
                                                    Hearing Request to the OALJ. The CALJ                   Respondent’s Physician’s and Surgeon’s                any pending applications be denied.
                                                    further noted that this address was                     license remains revoked. See
                                                    different from the address the                          www.breeze.ca.gov (accessed January                   Order
                                                    Government had used to serve                            14, 2016).                                               Pursuant to the authority vested in me
                                                    Respondent with the Order to Show                                                                             by 21 U.S.C. 823(f) and 824(a), as well
                                                                                                            Discussion
                                                    Cause and its motions. Thus, to ensure                                                                        as 21 CFR 0.100(b), I order that DEA
                                                    Respondent received sufficient notice of                   Pursuant to 21 U.S.C. 824(a)(3), the               Certificate of Registration FW2729804,
                                                    the response deadlines to the                           Attorney General is authorized to                     issued to Louis Watson, M.D., be, and it
                                                    Government’s motions, the CALJ re-sent                  suspend or revoke a registration issued               hereby is, revoked. I further order that
                                                    his orders to the address of                            under section 823, ‘‘upon a finding that              any pending application of Louis
                                                    Respondent’s residence and extended                     the Registrant . . . has had his State                Watson, M.D., to renew or modify his
                                                    the time permitted to respond to the                    license . . . suspended [or] revoked                  registration, as well as any other
                                                    Government’s motions.2 Id.                              . . . by competent State authority and is             pending application be, and it hereby is,
                                                       On October 7, 2015, the CALJ, having                 no longer authorized by State law to                  denied. This Order is effective March 7,
                                                    received no response from Respondent                    engage in the . . . dispensing of                     2016.
                                                    to either motion, granted the                           controlled substances.’’ Moreover, DEA
                                                                                                            has held repeatedly that the possession                 Dated: January 18, 2016.
                                                    Government’s motion to terminate the
                                                    proceedings, finding that Respondent’s                  of authority to dispense controlled                   Chuck Rosenberg,
                                                    request for a hearing was not timely                    substances under the laws of the State                Acting Administrator.
                                                    filed and that he had neither sought an                 in which a practitioner engages in                    [FR Doc. 2016–02130 Filed 2–3–16; 8:45 am]
                                                    extension nor offered an explanation for                professional practice is a fundamental                BILLING CODE 4410–09–P
                                                    the untimeliness of his hearing request.                condition for obtaining and maintaining
                                                    GX 9, at 3. The CALJ also denied the                    a practitioner’s registration. See, e.g.,
                                                    Government’s Motion for Summary                         James L. Hooper, 76 FR 71371 (2011),                  DEPARTMENT OF JUSTICE
                                                    Disposition as moot. Id at 4.                           pet. for rev. denied, 481 Fed Appx. 826
                                                       Thereafter, the Government submitted                 (4th Cir. 2012).                                      Drug Enforcement Administration
                                                    its Request for Final Agency Action to                     This rule derives from the text of two             [Docket No. DEA–392]
                                                    this Office. The Government supported                   provisions of the CSA. First, Congress
                                                    its request with various exhibits,                      defined ‘‘the term ‘practitioner’ [to]                Bulk Manufacturer of Controlled
                                                    including the Proposed Decision of the                  mean[ ] a . . . physician . . . or other              Substances Application: Pharmacore,
                                                    MBC’s ALJ and the MBC’s Decision.                       person licensed, registered or otherwise              Inc.
                                                       Based on the record, I find that                     permitted, by . . . the jurisdiction in
                                                    Respondent’s Hearing Request was                        which he practices . . . to distribute,               ACTION:   Notice of application.
                                                    untimely and that he has failed to                      dispense, [or] administer . . . a
                                                                                                            controlled substance in the course of                 DATES:  Registered bulk manufacturers of
                                                    demonstrate good cause to excuse his
                                                                                                            professional practice.’’ 21 U.S.C.                    the affected basic classes, and
                                                    untimeliness. 21 CFR 1301.43(d).
                                                                                                            802(21). Second, in setting the                       applicants therefore, may file written
                                                    Accordingly, I find that Respondent has
                                                                                                            requirements for obtaining a                          comments on or objections to the
                                                    waived his right to be heard on the
                                                                                                            practitioner’s registration, Congress                 issuance of the proposed registration in
                                                    matters of fact and law at issue and
                                                                                                            directed that ‘‘[t]he Attorney General                accordance with 21 CFR 1301.33(a) on
                                                    issue this Decision and Order based on
                                                                                                            shall register practitioners . . . if the             or before April 4, 2016.
                                                    the record submitted by the
                                                                                                            applicant is authorized to dispense . . .             ADDRESSES: Written comments should
                                                                                                            controlled substances under the laws of               be sent to: Drug Enforcement
asabaliauskas on DSK5VPTVN1PROD with NOTICES




                                                       2 In his Order, the CALJ also noted that his staff

                                                    had contacted by telephone the attorney listed by       the State in which he practices.’’ 21                 Administration, Attention: DEA Federal
                                                    Respondent in his Hearing Request to determine the
                                                                                                            U.S.C. 823(f). Because Congress has                   Register Representative/ODW, 8701
                                                    attorney’s status because he had not submitted any                                                            Morrissette Drive, Springfield, Virginia
                                                    filings. GX 10, note 2. According to the CALJ, the      clearly mandated that a physician
                                                    attorney stated that he ‘‘was not currently, and has    possess state authority in order to be                22152.
                                                    never been, [Respondent’s] counsel in this matter’’;    deemed a practitioner under the Act,                  SUPPLEMENTARY INFORMATION: The
                                                    the attorney also stated that upon his receipt of the
                                                    Government’s motions he had called Respondent
                                                                                                            DEA has held repeatedly that revocation               Attorney General has delegated her
                                                    and clarified to him that he was not representing       of a practitioner’s registration is the               authority under the Controlled
                                                    him in this matter. Id.                                 appropriate sanction whenever he is no                Substances Act to the Administrator of


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                                                                                Federal Register / Vol. 81, No. 23 / Thursday, February 4, 2016 / Notices                                                      6045

                                                    the Drug Enforcement Administration                     Second, the Order alleged that                        hearing. Id. § 1301.43(c) and (d). I
                                                    (DEA), 28 CFR 0.100(b). Authority to                    Registrant’s registration ‘‘is inconsistent           therefore issue this Decision and Final
                                                    exercise all necessary functions with                   with the public interest’’ because he                 Order based on the Investigative Record
                                                    respect to the promulgation and                         failed to ‘‘comply with applicable state              submitted by the Government. Id.
                                                    implementation of 21 CFR part 1301,                     and Federal law[s]’’ related to controlled            § 1301.43(e). I make the following
                                                    incident to the registration of                         substances. Id. at 2.                                 findings of fact.
                                                    manufacturers, distributors, dispensers,                   With respect to the latter contention,
                                                                                                            the Show Cause Order alleged that in                  Findings
                                                    importers, and exporters of controlled
                                                    substances (other than final orders in                  the MBC proceeding, the MBC                              Registrant is a physician authorized to
                                                    connection with suspension, denial, or                  Administrative Law Judge (ALJ) found                  dispense controlled substances in
                                                    revocation of registration) has been                    that Registrant admitted to eighteen                  schedules II through V as a practitioner,
                                                    redelegated to the Deputy Assistant                     occasions on which he issued                          at the registered address of LaSalle
                                                    Administrator of the DEA Office of                      clonazepam prescriptions to his wife                  Medical Associates, 16455 Main St.,
                                                    Diversion Control (‘‘Deputy Assistant                   but had the drugs dispensed to himself                Suite 1, Hesperia, California. GX 2. His
                                                    Administrator’’) pursuant to section 7 of               for his ‘‘own abuse.’’ Id. at 2. The Show             registration is not due to expire until
                                                    28 CFR part 0, appendix to subpart R.                   Cause Order also alleged that the MBC’s               July 31, 2016. Id.
                                                      In accordance with 21 CFR                             ALJ found that Registrant ‘‘started a                    On March 6, 2015, the MBC issued an
                                                    1301.33(a), this is notice that on                      treatment program for alcohol and                     order revoking Registrant’s Physician’s
                                                    December 3, 2015, Pharmacore, Inc.,                     clonazepam abuse but completed only                   and Surgeon’s License to practice
                                                    4180 Mendenhall Oaks Parkway, High                      five days of the thirty-day program,’’                medicine in the State of California,
                                                    Point, North Carolina 27265 applied to                  and that ‘‘[a]n expert physician testified            effective April 3, 2015. GX 4. The MBC’s
                                                    be registered as a bulk manufacturer of                 that [his] diagnosis included                         revocation was based on the decision of
                                                    the following basic classes of controlled               benzodiazepine dependence and that                    a state ALJ who found, based on clear
                                                    substances:                                             [he was] not currently undergoing any                 and convincing evidence, that
                                                                                                            recovery. Id. The Order alleged these                 Registrant: (1) Is alcohol and
                                                           Controlled substance               Schedule      findings establish that Registrant                    benzodiazepine dependent, (2) used
                                                                                                            violated 21 U.S.C. 844(a) and 843(a)(3),              alcohol and controlled substances in a
                                                    Oxymorphone (9652) ...................    II            as well as various provisions of the                  manner dangerous to himself and
                                                    Noroxymorphone (9668) ..............      II            California Business and Professions                   others, (3) prescribed a controlled
                                                                                                            Code. Id. The Order thus alleged that                 substance to another with the intention
                                                      The company plans to manufacture                      the MBC ALJ’s findings prove that                     of using that substance himself, (4) self-
                                                    the listed controlled substances as                     Registrant’s registration ‘‘is inconsistent           administered a controlled substance that
                                                    active pharmaceutical ingredients (APIs)                with the public interest under 21 U.S.C.              he had prescribed in the name of
                                                    for clinical trials.                                    824(a)(4) and 823(f)(4).’’ Id.                        another, (5) violated the California
                                                      Dated: January 27, 2016.                                 Finally, the Show Cause Order                      Medical Practice Act, and 6) engaged in
                                                    Louis J. Milione,                                       notified Registrant of his right to request           unprofessional conduct.1 GX 3, at 1.
                                                                                                            a hearing on the allegations or to submit                More specifically, the state ALJ found,
                                                    Deputy Assistant Administrator.
                                                                                                            a written statement in lieu of a hearing,             by clear and convincing evidence, that
                                                    [FR Doc. 2016–02128 Filed 2–3–16; 8:45 am]
                                                                                                            the procedure for electing either option,             Registrant:
                                                    BILLING CODE 4410–09–P
                                                                                                            and the consequence for failing to elect
                                                                                                                                                                  engaged in unprofessional conduct by
                                                                                                            either option. Id. at 2 (citing 21 CFR                violating state laws related to the
                                                                                                            1301.43). On September 16, 2015, DEA                  prescription and use of Klonopin as follows:
                                                    DEPARTMENT OF JUSTICE
                                                                                                            Diversion Investigators (DIs) travelled to            [he] repeatedly issued prescriptions for
                                                    Drug Enforcement Administration                         Registrant’s address and after verifying              Klonopin in [his wife’s] name with the intent
                                                                                                            his identity, personally served him with              of self-administering the Klonopin obtained
                                                    David W. Bailey, M.D.; Decision and                     the Show Cause Order. GX 5, at 2                      from the prescriptions; he engaged in fraud
                                                                                                            (Declaration of DI).                                  and deceit in order to obtain Klonopin; he
                                                    Order                                                                                                         provided a false name to obtain Klonopin; he
                                                                                                               On December 1, the Government filed
                                                      On September 9, 2015, the Deputy                                                                            repeatedly used Klonopin in violation of the
                                                                                                            its Request for Final Agency Action
                                                    Assistant Administrator, Office of                      along with with various exhibits. In its                 1 Notwithstanding that Registrant failed to appear
                                                    Diversion Control, Drug Enforcement                     Request, the Government states that                   at the MBC hearing, the MBC’s findings of fact and
                                                    Administration (DEA), issued an Order                   since the date of service of the Show                 conclusions of law are entitled preclusive effect in
                                                    to Show Cause to David W. Bailey, M.D.                  Cause Order, neither Registrant, ‘‘nor                this proceeding. The MBC found that Registrant was
                                                    (Registrant), of Hesperia, California. The              anyone representing him[,] has                        properly served with the Accusation and, in fact,
                                                                                                                                                                  several days before the hearing telephoned the
                                                    Show Cause order proposed the                           requested a hearing or sent any other                 MBC’s counsel ‘‘and advised her that he was not
                                                    revocation of Registrant’s Certificate of               correspondence to’’ the Agency. Request               going to appear.’’ GX 3, at 2. Thus, notwithstanding
                                                    Registration FB4421474, and the denial                  for Final Agency Action, at 9.                        that he defaulted, Registrant had a full and fair
                                                    of any applications to renew or modify                     Based on the Government’s                          opportunity to challenge the MBC’s allegations. See
                                                                                                                                                                  Jose G. Zavaleta, 78 FR 27431, 27434 (2013)
                                                    this registration or for any other                      submission, I find that 30 days have                  (collecting cases holding that findings made in a
                                                    registration on two grounds. GX 1, at 1.                now passed since the date of service of               proceeding against a party in default are entitled to
                                                      First, the Show Cause Order alleged                   the Show Cause Order, and neither
asabaliauskas on DSK5VPTVN1PROD with NOTICES




                                                                                                                                                                  preclusive effect if the party could have appeared
                                                    on April 3, 2015, the Medical Board of                  Registrant, nor anyone purporting to                  and defended if he had wanted to); see also id.
                                                                                                                                                                  (quoting Gottlieb v. Kest, 141 Cal. App. 4th 110, 149
                                                    California (MBC or Board) revoked his                   represent him, has either requested a                 (Cal. Ct. App. 2006) (‘‘A default judgment
                                                    state medical license, and that therefore,              hearing on the allegations or submitted               conclusively establishes, between the parties so far
                                                    Registrant is ‘‘without authority to                    a written statement in lieu of a hearing.             as subsequent proceedings on a different cause of
                                                    handle controlled substances in                         See 21 CFR 1301.43(a) and (c).                        action are concerned, the truth of all material
                                                                                                                                                                  allegations contained in the complaint in the first
                                                    California, the [S]tate in which [he is]                Accordingly, I find that Registrant has               action, and every fact necessary to uphold the
                                                    registered with the DEA. Id. (citing 21                 waived his right to a hearing or to                   default judgment.’’) (int. quotations and citations
                                                    U.S.C. 802(21), 823(f), and 824(a)(3)).                 submit a written statement in lieu of                 omitted).



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Document Created: 2016-02-04 00:30:55
Document Modified: 2016-02-04 00:30:55
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionNotice of application.
DatesRegistered bulk manufacturers of the affected basic classes, and applicants therefore, may file written comments on or objections to the issuance of the proposed registration in accordance with 21 CFR 1301.33(a) on or before April 4, 2016.
FR Citation81 FR 6044 

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