[Federal Register Volume 74, Number 162 (Monday, August 24, 2009)]
[Notices]
[Page 42692]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-20335]


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DEPARTMENT OF JUSTICE

Drug Enforcement Administration


Spirit Pharmaceuticals, L.L.C.; Dismissal of Proceeding

    On June 22, 2007, I, the Deputy Administrator of the Drug 
Enforcement Administration, issued an Order to Suspend Shipment 
(hereinafter, Suspension Order) to Spirit Pharmaceuticals, L.L.C. 
(Respondent), of Fairless Hills, Pennsylvania. Suspension Order at 1. 
The Order suspended Respondent's proposed importation of 2,000 
kilograms of ephedrine hydrochloride from Emmellen Biotech 
Pharmaceuticals, Ltd., of Mumbai, India, on the ground that the product 
``may be diverted'' to the illicit manufacture of methamphetamine, a 
schedule II controlled substance. Id. at 3; see also 21 U.S.C. 971(c).
    The Suspension Order alleged that Respondent had identified AAA 
Pharmaceutical, Inc. (AAA), on its Import Declaration (DEA Form 486) as 
the customer for the product. Id. at 2. The Order also alleged that in 
a telephone conversation, a ``representative of AAA stated that the 
ephedrine was to be manufactured into tablets, packaged, and sold to 
Novelty, Inc.'' Id. Finally, the Order alleged that Novelty, Inc., 
distributed over-the-counter products containing ephedrine to entities 
such as gas stations and convenience stores, id. at 3, that these 
outlets sell ephedrine products ``in quantities that exceed what would 
be necessary to meet legitimate demand,'' and that the products ``are 
often sold to persons for use in the illicit manufacture of 
methamphetamine.'' Id. at 2.
    Neither Respondent nor AAA requested a hearing on the 
allegations.\1\ The record was then forwarded to me for final agency 
action.
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    \1\ Novelty did, however, request a hearing on the Suspension 
Order. On August 17, 2007, I denied Novelty's request. See 72 FR 
49316 (2007).
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    On January 17, 2008, I also issued an Order to Show Cause and 
Immediate Suspension of Registration to Novelty.\2\ On September 3, 
2008, following a hearing, I ordered the revocation of Novelty's 
registration as a distributor of list I chemicals and the denial of any 
applications it had pending before the Agency. See Novelty 
Distributors, Inc., 73 FR 52689, 52704 (2008).
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    \2\ Because Novelty's registration was immediately suspended, my 
review of the Order to Suspend Shipment was held in abeyance pending 
the issuance of the final order in Novelty and judicial review of 
it.
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    Shortly thereafter, Novelty filed a Petition for Review in the U.S. 
Court of Appeals for the District of Columbia Circuit. On June 22, 
2009, the Court of Appeals issued a Per Curiam Order denying Novelty's 
Petition for Review. See Novelty, Inc., v. DEA, 2009 WL 1930184, *1 
(D.C. Cir. June 22, 2009). Moreover, on July 28, 2009, the Court of 
Appeals denied Novelty's Petitions for Rehearing and Rehearing En Banc. 
See Novelty, Inc., v. DEA, No. 08-1296 (D.C. Cir. Filed July 28, 2009) 
(order denying rehearing and order denying rehearing en banc).
    As noted above, the Suspension Order was based on Respondent's 
intended distribution of the ephedrine to AAA, which sought the 
ephedrine for the purpose of manufacturing ephedrine products for 
Novelty. The Court of Appeals, however, has now upheld the Agency's 
Final Order revoking Novelty's registration. Because Novelty lacks 
authority under Federal law to distribute ephedrine products, I 
conclude that this case is now moot. Cf. Board of License Comm'rs v. 
Pastore, 469 U.S. 238, 239 (1985) (per curiam). Accordingly, this 
proceeding is dismissed.
    It is so ordered.

    Dated: August 12, 2009.
Michele M. Leonhart,
Deputy Administrator.
[FR Doc. E9-20335 Filed 8-21-09; 8:45 am]
BILLING CODE 4410-09-P