Department of Justice
U.S. Attorney’s Office
Western District of Virginia
FOR IMMEDIATE RELEASE
Tuesday, March 28, 2023
Midwest Veterinary Supply Will Forfeit More Than $10 Million
ABINGDON, Va. – Midwest Veterinary Supply (Midwest), a Minnesota-based company that supplies prescription drugs for animals to veterinarians, farms, feedlots, and other businesses, pled guilty today to introducing misbranded drugs into interstate commerce and agreed to pay more than $10 million in criminal fines and forfeiture.
“The Department of Justice will continue to ensure that all companies follow federal laws regarding distribution of prescription drugs,” United States Attorney Christopher R. Kavanaugh of the Western District of Virginia said today. “In this case, millions of dollars were obtained from the illegal distribution of veterinary medicine and, just like pharmaceuticals intended for human-use, my Office will continue to hold accountable those companies and corporations that violate federal law.”
“The FDA regulates animal drugs as part of its mission to protect the public health. Part of this responsibility includes ensuring that prescription animal drugs are lawfully distributed and dispensed pursuant to a valid prescription,” said Special Agent in Charge George A. Scavdis, FDA Office of Criminal Investigations’ Metro Washington Field Office. “We will continue to investigate and bring to justice those who attempt to evade the law.”
According to court documents, from 2011-2021, Midwest shipped prescription drugs from their non-pharmacy locations throughout the United States to end-users that were not authorized to receive prescription drugs. Shipments from non-pharmacy locations to end-users and shipments to non-authorized locations are deemed misbranded. Midwest shipped at least $10,150,014 worth of misbranded drugs to end-users between 2011-2021. The law violated is designed, in part, to ensure that prescription drugs are kept within a controlled chain of distribution to prevent diversion and inappropriate use.
As part of the plea agreement, Midwest will forfeit $10,150,014 and serve between one and three years’ probation. Midwest will also pay $1,000,000 to the Virginia Department of Health Professions, and a $500,000 fine. Midwest is scheduled to be sentenced on June 12, 2023, in United States District Court in Abingdon.
The U.S. Food and Drug Administration – Office of Criminal Investigations and the Virginia State Police investigated the case, with the assistance of the Virginia Department of Health Professions.
Assistant U.S. Attorney Randy Ramseyer is prosecuting the case.
USAO - Virginia, Western