Paper Trail

  • Jose Castillo and two others in Miami were charged with mail fraud, money laundering and conspiracy for their alleged diversion of prescription drugs, and could face up to 40 years in prison for the combined charges. Click here to read the DOJ press release.
  • Michael Carlow was sentenced to 9 years in prison after pleading guilty to charges of racketeering, organizational fraud, and grand theft. Click here to see a PDF of Carlow's sentencing report.
  • Jose Grillo was sentenced to 12 years in prison after pleading guilty to charges of racketeering, product tampering, and organized scheme to defraud. Grillo was indicted in 2003 for his role in uplabeling 120,000 doses of Epogen/Procrit and has been held in a Miami jail since then. Click here to read the press release.
  • In a unanimous opinion, a New York appellate court rejected the claims of Dr. Paul Perito, who subpoenaed Katherine Eban to testify about information related to the investigation chronicled in her book, Dangerous Doses.

    The court held that journalistic privilege granted under New York's "Shield Law" precluded Dr. Perito from obtaining non-confidential but unpublished information from Eban. Perito was arrested in 2004 in connection to a $60 million counterfeit drug scheme. Click here to read the court's opinion. Click here to read the NY Law Journal article about the case.
  • Robert Neil Spence, a former Vice President at Cardinal Health, pleaded guilty to felony charges of mail fraud and tax evasion for taking kickbacks from Michael Carlow in exchange for purchasing medicine from him. In July 2008, he was sentenced to four years probation and required to pay the IRS over $76,000.00 in restitution.
  • Michael Allyn Carlow was sentenced in a Missouri state court to five years in prison and ordered to pay $3.4 million in restitution for his role in the $42 million dollar conspiracy to sell counterfeit Lipitor. Click here to read the DOJ press release of Carlow's sentencing.
  • Paul Louis Kriger pleaded guilty to conspiring to sell stolen pharmaceuticals. Click here to read the DOJ press release.
  • Quality King Distributors Inc., was sued by Parlux Fragrances Inc., which alleged a variety of schemes related to gray market distribution. Click here to read the lawsuit.
  • Four co-defendants were indicted for their role in a multi-million dollar conspiracy to sell counterfeit, illegally imported and misbranded Lipitor and other drugs. Click here to read the DOJ press release.
  • Michael Allyn Carlow pleaded guilty to his role the a $42 million dollar conspiracy to sell counterfeit Lipitor. Click here to read the DOJ press release of Carlow's sentencing.
  • Julio Cesar Cruz was sentenced to 13 years and six months in federal prison without parole for conspiracy to sell counterfeit Lipitor and other drugs.
  • Douglas C. Albers, the owner of Albers Medical Distributors, Inc., pleaded guilty to selling counterfeit and misbranded Neupogen to a California firm in September 2001. Click here to read Albers's plea.
  • Robert Neil Spence, a former employee of Cardinal Health Company, was indicted for allegedly taking kickbacks from Michael Carlow. Click here to read the indictment.
  • Martin J. Bradley III was convicted on charges that include racketeering, money laundering, failure to disclose interest in foreign bank accounts and wire fraud to pay unlawful kickbacks. His father, Martin J. Bradley Jr., and the coorporation Biomed Plus were also found guilty. Click here to read the DOJ press release of Bradley's indictment. Click here to read the SavannahNOW article about his conviction.
  • Michael Allyn Carlow--along with 11 others--was indicted in the Western District Court of Missouri for his alleged role in a $42 million conspiracy to sell counterfeit and misbranded Lipitor.
    Click here to read the indicment.
    Click here to read the DOJ press release.
  • Dr. Paul Perito and Nicholas Just, formerly co-owners of the strip club Playpen South, were arrested for allegedly trafficking in pharmaceuticals, including mislabeled cancer and AIDS drugs.
    Click here to read the affidavit of probable cause.
  • Jose Grillo, who allegedly counterfeited life-saving medicine, was arrested and charged with organized scheme to defraud and buying and selling prescription drugs from an unauthorized person.
    Click here to read the Florida indictment.
  • Michael Allyn Carlow, who allegedly trafficked in adulterated medicine, was arrested and charged with racketeering, conspiracy to commit racketeering, organized scheme to defraud and grand theft.
    Click here to read the Florida indictment.
  • The House Committee on Energy and Commerce's Subcommittee on Oversight and Investigations held hearings, A System Overwhelmed: The Avalanche of Imported, Counterfeit, and Unapproved Drugs into the U.S. Click here to read the transcripts.