Morris & Dickson Wins Court Hearing, Reversing DEA Action

(May 9, 2018)  Yesterday, Morris & Dickson Co., LLC (M&D) won an important hearing in US District Court for the Western District of Louisiana.  After a lengthy hearing, the Court reversed the DEA’s recent action which had stopped M&D from distributing controlled substances.  As a result, M&D is back to full and normal operations, which includes providing desperately needed control substance medicines to hospitals, clinics, and pharmacies.

A follow-up hearing is scheduled before the same judge for May 22.

“We are pleased with the Court’s action,” said Paul Dickson, President of M&D.  “It affirms what we’ve said all along, that we take diversion control extremely seriously.”

“But we’re not resting on our record of no prior enforcement action in 177 years. We are improving our already vigorous suspicious order monitoring program into what will be recognized as a state-of-the-art diversion control system.  This project is already underway and is headed by Louis Milione of Guidepost Solutions, who retired last year as the DEA’s Assistant Administrator for Diversion.  We hope that this will be a turning point for the industry as we work with DEA and other critical members of the healthcare community on model drug diversion control and patient safety measures.  This is consistent with yesterday‘s testimony of DEA Acting Administrator Patterson before the House Judiciary Committee.  He specifically stated that M&D would be given the opportunity to develop such a plan.

 

Background Facts:

  • M&D has never before faced any DEA enforcement action, fine, or penalty in its 177 year history.
  • M&D has had sound internal controls that have reduced M&D’s opioid distribution by 27% since 2014.
  • M&D has voluntarily turned away over 142 paying pharmacies in recent years to avoid the improper distribution of opioids, representing an 8% total reduction of its customer base. The DEA had no involvement in identifying any of those cases.
  • In 2016, M&D invited top DEA Diversion Control officials to personally visit and review its control procedures, which they did. The company asked for suggested improvements but got none.
  • On numerous occasions, M&D has offered to demonstrate to the DEA how it can more effectively use existing private sector technology and data to identify instances of opioid diversion and abuse.