OHIO STATE BOARD OF PHARMACY

77 South High Street, Room 1702; Columbus, OH 43215-6126

-Equal 0pp0rtuniIy Employer and Service Provider-

TEL' 6141466-4143 EMAIL execebop.state.oh.us FAX: 6141752-4836 TTYffDD: Use the Ohio Relay Service: I-S00nSQ-0750 URL' http://www.phannacy.ohio.gov

NOTICE OF OPPORTUNITY FOR HEARING

January 3, 2013

Mediserv Town Street Pharmacy, Inc.

C/O Gregory R. Garner 6028 Kentigren Court South Dublin, Ohio 43017 Re: Ohio Terminal Distributor License No. 02-0685200 Dear Mr. Garner: YOU ARE HEREBY NOTIFIED that, in accordance with the provisions of Chapters 119. and 4729. of the Ohio Revised Code, the Ohio State Board of Pharmacy will determine whether or not to take action against the license of Mediserv Town Street Pharmacy, Inc. Prior to any such action, Mediserv Town Street Pharmacy, Inc. is entitled to a hearing before the State Board of Pharmacy on the basis of the following allegations:
(1)

Records of the Board of Pharmacy indicate that Mediserv Town Street Pharmacy, Inc. was licensed on or around October, 2011 with the State Board of Pharmacy as a Terminal Distributor of Dangerous Drugs. Records further reflect during the relevant time periods stated herein, G. Douglas Porter, R.Ph. was the Responsible Pharmacist pursuant to Rule 4729-5-11 of the Ohio Administrative Code and Sections 4729.27 and 4729.55 of the Ohio Revised Code. Records further reflect during the relevant time periods stated herein, Gregory R. Garner was the legal owner of Mediserv Town Street Pharmacy, Inc. Mediserv Town Street Pharmacy did, between May 3, 2010 and October 11, 2011, cease to satisfy the qualifications of a terminal distributor of dangerous drugs within the meaning of Section 4729.55 of the Ohio Revised Code, to wit: the pharmacy did not have adequate safeguards to prevent the sale or other distribution of dangerous drugs by any person other than a pharmacist or licensed health professional authorized to prescribe drugs. Specifically, responsible pharmacist, G. Douglas Porter, confronted a pharmacy technician with two stock bottles of hydrocodone products found in her purse. During investigation of this incldent, Responsible Pharmacist Porter admitted that any employee of the pharmacy could access and change the computer on-hand inventory, biennial inventories were conducted with a comparison of the computer on-hand inventory to physical stock, and no comparison of the computer on-hand inventory to the dispensing records and invoices were ever conducted. An inventory conducted by agents of the Board revealed substantial shortages of the following controlled substances.

(2)

Mediserv Town Street Pharmacy, Inc. C/O G. Douglas Porter, R.Ph. Page 2 Notice of Opportunity

Drug/Strength hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP hydrocodone/APAP alprazolam 1 mg alprazolam 0.5 mg alprazolam 2 mg

7.5/500 mg 7.5/750 mg 7.5/325 mg 10/325 mg 10/650 mg 10/500 mg 10/660 mg 5/500 mg

Shortage 99,329 72,096 1,566 4,382 916 1,558 1,360 9,316 7,329 10,815 1,745

Percentage of Total Stock 38.896 38.496 12.196 13.596 28.296 1596 29.696 3.696 6.896 12.696 15.796

Such conduct, if proven, indicates that the pharmacy ceased to satisfy the qualifications of a terminal distributor of dangerous drugs as set forth in Section 4729.55 of the Ohio Revised Code and proscribed by Section 4729.57 of the Ohio Revised Code. For these reasons, the State Board of Pharmacy will determine whether to take action pursuant to Section 4729.57 of the Ohio Revised Code. YOU ARE HEREBY ADVISED that Section 4729.57 of the Ohio Revised Code provides in pertinent part: (A) The State Board of Pharmacy may suspend, revoke, or refuse to renew any license issued to a terminal distributor of dangerous drugs pursuant to section 4729.54 of the Revised Code, or may impose a monetary penalty or forfeiture not to exceed in severity any fine designated under the Ohio Revised Code for a similar offense or one thousand dollars if the acts committed have not been classified as an offense by the Revised Code, for any of the follOWing causes: (1) (2) (3) (4) Making any false material statements in an application for a license as a terminal distributor of dangerous drugs; Violating any rule of the board; Violating any provision of this chapter; Violating any provision of the "Federal Food, Drug, and Cosmetic Act," 52 Stat. 1040 (1938), 21 U.S.c.A. 301, or Chapter 3715. of the Revised Code; Violating any provision of the federal drug abuse control laws or Chapter 2925. or 3719. of the Revised Code; Falsely or fraudulently promoting to the publ ic a dangerous drug, except that nothing in this division prohibits a terminal distributor of dangerous drugs from furnish ing information concerning a

(5)

(6)

Mediserv Town Street Pharmacy, Inc. C/O G. Douglas Porter, R.Ph. Page 3 Notice of Opportunity

dangerous drug to a health care provider or another licensed terminal distributor; (7) Ceasing to satisfy the qualifications of a terminal distributor of dangerous drugs set forth In Section 4729.55 of the Revised Code. Except as provided in division (B) of this section: (a) Waiving the payment of all or any part of a deductible or copayment that an individual, pursuant to a health insurance or health care policy, contract, or plan that covers the services provided by a terminal distributor of dangerous drugs, would otherwise be required to pay for the services if the waiver Is used as an enticement to a patient or group of patients to receive pharmacy services from that terminal distributor; Advertising that the terminal distributor will waive the payment of all or any part of a deductible or copayment that an individual, pursuant to a health insurance or health care policy, contract, or plan that covers the pharmaceutical services would otherwise be required to pay for the services.

(8)

(b)

YOU ARE FURTHER NOTIFIED, in accordance with the provisions of Chapters 119. and 4729. of the Ohio Revised Code, that you are entitled to a hearing before the Ohio State Board of Pharmacy, if you request such a hearing within thirty (30) days of the time of the mailing of this notice. IF YOUR FACILITY DESIRES A HEARING, such request shall be mailed to the State Board of Pharmacy, 77 South High Street, Room 1702, Columbus, Ohio 43215-6126. YOUR REQUEST MUST BE IN WRITING, AND MUST BE RECEIVED IN THE OFFICE OF THE OHIO STATE BOARD OF PHARMACY ON OR PRIOR TO THE THIRTIETH (30TH) DAY FOLLOWING THE MAILING DATE OF THIS NOTICE. You may appear at such hearing in person, by or with your attorney, or you may present the facility's position, arguments or contentions in writing; and, at this hearing, you may also present evidence and examine any witnesses appearing for and against the facility.

Mediserv Town Street Pharmacy, Inc. C/O G. Douglas Porter, R.Ph. Page 4 Notice of Opportunity

YOU ARE FURTHER ADVISED that if there is no request for such a hearing received by the Board on or prior to the thirtieth (30 th ) day following the mailing of this notice, the Ohio State Board of Pharmacy, upon consideration of the aforementioned allegations against your facility, may take action without such a hearing. BY ORDER OF THE STATE BOARD OF PHARMACY

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KWP/bte Registered Mall / Return Receipt RE 946 606 207 US c: Sean M. Culley , Assistant Attorney General