The Department of Justice (DOJ) announced today charges against 10 individuals involved in an alleged scheme to distribute nearly 70 million opioid pills and 30 million doses of other prescription drugs to “pill-mill” pharmacies, primarily in Houston, Texas.
Among those charged is Hernan Alvarez, 52, of Phoenix, who has pleaded guilty to one count of conspiracy to unlawfully distribute and dispense controlled substances in connection with distributing over 18.6 million opioid units.
Alvarez, the president of DEA-registered pharmaceutical distributor Salus Medical LLC, along with co-conspirators, allegedly targeted Houston-area pharmacies willing to pay over-market prices for opioids, fully aware that these pharmacies were reselling the drugs for cash, primarily to street-level drug dealers, the DOJ states
In 2017, despite receiving training from the DEA on recognizing red flags and preventing drug diversion, Alvarez continued to funnel highly potent, immediate-release opioids like oxycodone, hydrocodone, and hydromorphone to these pharmacies.