[Federal Register Volume 65, Number 161 (Friday, August 18, 2000)]
[Notices]
[Pages 50569-50570]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-21114]


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DEPARTMENT OF JUSTICE

Drug Enforcement Administration


William C. Potter, D.V.M.; Revocation of Registration

    On November 5, 1999, the Deputy Assistant Administrator, Office of 
Diversion Control, Drug Enforcement Administration (DEA), issued an 
Order to Show Cause to William C. Potter, D.V.M., of Paducah, Kentucky, 
notifying him of an opportunity to show cause as to why DEA should not 
revoke his DEA Certificate of Registration BP2137847, and deny any 
pending applications for the renewal of such registration pursuant to 
21 U.S.C. 823(f), 824(a)(2) and 824(a)(4), for reason that he was 
convicted of controlled substance related offenses and that his 
continued registration would be inconsistent with the public interest. 
The order also notified Dr. Potter that should no request for a hearing 
be filed within 30 days of receipt of the Order to Show Cause, his 
hearing right would be deemed waived.
    A copy of the Order to Show Cause was mailed to Dr. Potter's 
register location, and a signed receipt indicates that the order was 
received by an individual on behalf of Dr. Potter on November 13, 1999. 
A second copy of the Order to Show Cause was mailed to Dr. Potter at an 
address in Marion, Illinois. DEA received a receipt signed on December 
10, 1999, by an individual on behalf of Dr. Potter. No request for a 
hearing or any other reply was received by DEA from Dr. Potter or 
anyone purporting to represent him in this matter. Therefore, the 
Administrator, finding that (1) 30 days have passed since the receipt 
of the Order to Show Cause, and (2) no request for a hearing having 
been received, concludes that Dr. Potter is deemed to have waived his 
hearing right. After considering material from the investigative file 
in this matter, the Administrator now enters his final order without a 
hearing pursuant to 21 CFR 1301.43 (d) and (e) and 1301.46.
    The Administrator finds that Dr. Potter is a registered 
veterinarian in Kentucky. In November 1991, investigators from the 
Kentucky Department of Human Resources (The Department) conducted an 
inspection of Dr. Potter's records. The inspection revealed that while 
Dr. Potter purchased various Schedule II controlled substances, he had 
no records of dispensing or administration. In addition, no inventory 
was taken for Schedule III and IV controlled substances, and there were 
no purchase records for these substances.
    In June 1993, the Department conducted another inspection of Dr. 
Potter's veterinary practice. An audit was conducted of several 
controlled substances. Since Dr. Potter still had not conducted an 
inventory of these substances a zero beginning balance was used to 
conduct the audit. The audit revealed shortages, meaning that Dr. 
Potter could not account for all of the substances for which he was 
responsible. Further, because a zero beginning balance was used, the 
actual shortages were most likely greater than those revealed by the 
audit because Dr. Potter was not held responsible for what he had on 
hand at the start of the audit period. This inspection also revealed 
that Dr. Potter failed to maintain DEA official order forms, and failed 
to maintain Schedule II records separate from Schedule III through V 
records.
    In May 1997, DEA conducted an investigation of Dr. Potter that 
revealed that between 1993 and 1997, he distributed large quantities of 
anabolic steroids, Schedule II controlled substances, to numerous 
individuals outside the scope of his veterinary practice and for no 
legitimate medical purpose.
    Subsequently, in November 1998, Dr. Potter was indicted in the 
United States District Court for the Western District of Kentucky and 
charged with 432 felony counts of the unlawful distribution of 
controlled substances in violation of 21 U.S.C. 841(a)(1). Following a 
jury trial, Dr. Potter was found guilty of all 432 counts, and he was 
sentenced on May 16, 1999, to serve 21 months imprisonment and pay a 
fine and court costs.
    Pursuant to 21 U.S.C. 824(a), ``[a] registration pursuant to 
section 823 of this title to * * * dispense a controlled substance * * 
* may be suspended or revoked by the Attorney General upon a finding 
that the registrant--* * * (2) has been convicted of a felony under 
this subchapter or subchapter II of this chapter or any other law of 
the United States, or of any State, relating to any substance defined 
in this subchapter as a controlled substance. * * *''
    In addition, pursuant to 21 U.S.C. 823(f) and 824(a)(4), the 
Administrator may revoke a DEA Certificate of Registration and deny any 
pending application for renewal of such registration, if he determined 
that the continued registration would be inconsistent with the public 
interest. Section 823(f) requires that the following factors be 
considered in determining the public interest:

    (1) The recommendation of the appropriate State licensing board 
of professional disciplinary authority.
    (2) The applicant's experience in dispensing, or conducting 
research with respect to controlled substances.
    (3) The applicant's conviction record under Federal or State 
laws relating to the manufacture, distribution, or dispensing of 
controlled substances.
    (4) Compliance with applicable State, Federal, or local laws 
relating to controlled substances.
    (5) Such other conduct which may threaten the public health and 
safety.

These factors are to be considered in the disjunctive; the 
Administrator may rely on any one or a combination of factors and may 
give each factor the weight he deems appropriate in determining whether 
a registration should be revoked or an application for registration 
denied. See Henry J. Schwarz, M.D., 54 FR 16,422 (1989).
    It is undisputed that Dr. Potter was convicted in May 1999, in the 
United States District Court for the Western District of Kentucky of 
432 felony counts relating to controlled substances. therefore, grounds 
exist to revoke Dr. Potter's DEA registration under 21 U.S.C. 
824(a)(2).
    Next the Administrator considers whether Dr. Potter's continued 
registration would be inconsistent with the public interest. As to 
factor one, there is no evidence in the investigative file of any 
action being taken against Dr. Potter's veterinary license or his 
ability to handle controlled substances in the Commonwealth of 
Kentucky. Therefore, it appears that Dr. Potter has an unrestricted 
state license.
    Factors two and four, Dr. Potter's experience in handling 
controlled substances and his compliance with controlled substance 
laws, are clearly relevant in determining the public interest. 
Inspections in 1991 and 1993 revealed violations of controlled 
substance laws and regulations. Dr. Potter failed to maintain complete 
and accurate records as required by 21 U.S.C. 827 and 21 CFR 1304.21, 
to take and maintain an initial and a biennial inventory as required by 
21 U.S.C. 827 and 21 CFR 1304.11, to maintain DEA official order forms 
reflecting the purchase of controlled substances a required by 21 
U.S.C. 828 and 21 CFR 1305.09, to maintain Schedule II records 
separately from Schedule III through V

[[Page 50570]]

records as required by 21 CFR 1304.04(f)(1) and (g), and he issued 
prescriptions to obtain controlled substances for office use in 
violation of 21 CFR 1306.04(b). These are all also violations of state 
law. Further from 1993 to 1997, Dr. Potter distributed anabolic 
steriods to a number of individuals for no legitimate medical purpose 
and outside the scope of professional practice in violation of 21 
U.S.C. 841(a)(1).
    As to factor three, it is undisputed that Dr. Potter was convicted 
of 432 felony offenses relating to his unlawful distribution of 
anabolic steriods.
    Regarding factor five, there is no evidence in the investigation 
file of any other conduct which may threaten the public health and 
safety.
    The Administrator concludes that Dr. Potter's continued 
registration would be inconsistent with the public interest based on 
his controlled substance record keeping violations, his unlawful 
distribution of anabolic steriods, and his conviction of 432 felony 
offenses. No evidence of explanation or mitigating circumstances was 
offered by Dr. Potter, or anyone purporting to represent him.
    Accordingly, the Administrator of the Drug Enforcement 
Administration, pursuant to the authority vested in him by 21 U.S.C. 
823 and 824, and 28 CFR 0.100(b), hereby orders that DEA Certificate of 
Registration BP2137847, previously issued to William C. Potter, D.V.M., 
be, and it hereby is, revoked. The Administrator further orders that 
any pending applications for renewal of such registration, be, and they 
hereby are, denied. This order is effective September 18, 2000.

    Dated: August 3, 2000.
Donnie R. Marshall,
Administrator.
[FR Doc. 00-21114 Filed 8-17-00; 8:45 am]
BILLING CODE 4410-09-M