According to a U.S. District Court website, a local oncologist is scheduled for a plea agreement hearing next month in a case involving misbranded drugs found at his now-defunct cancer treatment center.
Last week federal prosecutors filed a document called an “information” which details the allegations against Dr. William Kincaid in the misbranded drug purchases at McLeod Blood and Cancer Clinic,
In the information, the federal government claims the doctor was responsible for ordering $2 million worth of cancer medications from a company named Quality Specialty Products, located in Canada.
The drugs cost less than the clinic was paying to FDA-approved suppliers in the U.S. and a decision was made by Kincaid, Dr. Ray Lamb and Dr. Charles Famoyin for the business manager, Michael Combs, to order the drugs in September 2007.
Later that year, and in early 2008, nurses at the clinic raised concerns about medications with foreign language on the labels that were delivered to the clinic and there was a decision to stop ordering from QSP.
But in August 2009, QSP approached Kincaid and Combs about doing business together again and Kincaid decided to buy medications from QSP. But instead of having the medications delivered to the clinic, Kincaid told Combs to have them shipped to a storage business in which Kincaid had part ownership. The medications were then transferred to the cancer clinic and mingled into FDA-approved drugs in the storage area.
According to the government document, McLeod purchased $2 million worth of drugs from QSP, but billed “Medicare, TennCare and other government benefits programs approximately $2.5 million for the unapproved drugs.”
Combs was charged during the investigation, which began in February, and pleaded guilty to one count of receiving misbranded drugs. He faces up to a year in prison and a $100,000 fine, and a possible five-year probation term. Combs is scheduled for sentencing on April 1.
In the information document against Kincaid, the government alleges Kincaid aided and abetted others to obtain the misbranded drugs with the intent to defraud and mislead.