NORFOLK, Va. — The company that owns Farm Fresh has agreed to pay $1 million to settle civil penalty claims stemming from alleged record-keeping violations by its pharmacies.
Farm Fresh, headquartered in Virginia Beach, operated 34 pharmacies in the Norfolk area, but in March 2018 sold 21 stores in the Hampton Roads and North Carolina region. Each pharmacy was registered with the DEA, which allowed it to maintain and dispense controlled substances.
It's alleged that between Sept. 9, 2014, and Sept. 21, 2016, Farm Fresh pharmacies violated the Controlled Substances Act by failing to properly record dates and quantities of controlled substances shipped and received, it also failed to record the DEA numbers of suppliers, and it failed to timely notify the DEA of theft losses.
These failures happened despite several of the pharmacies having received Letters of Admonition from the DEA for failing to properly complete and maintain the required records.
“The abuse of prescription drugs is one of the most alarming and critical issues we face today,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “To combat this problem, it is crucial that those who dispense controlled substances comply with record-keeping requirements. These requirements help to prevent the illegal diversion of prescription drugs, and holding registrants accountable serves a vital role in our office’s effort to combat every manner of the opioid crises affecting Virginia.”
The Controlled Substance Act was passed in Congress to combat the illegal distribution and abuse of controlled substances, including prescription medication.
The civil claims settled are allegations only; there has been no determination of civil liability.