Tennessee Cancer Doctor Sentenced to 2 Years in Counterfeit Cancer Drug Case

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On June 10, 2013, Dr. William Kincaid of Johnson City, Tennessee was sentenced to two years in prison for his role in purchasing misbranded and possibly counterfeit cancer drugs. Kincaid was a physician and managing partner for McLeod Cancer and Blood Center of Johnson City, Tennessee. The clinic was set up to provide care for those with cancer and blood disorders. Kincaid was convicted of receiving misbranded drugs with intent to defraud or mislead in violation of the Food, Drug and Cosmetics Act. Once the misbranded drugs were purchased, he then sought reimbursement through the Medicare and Medicaid/TennCare programs as well as other health benefits programs.

Who: Food & Drug Administration Office of Criminal Investigation (FDA-OCI), Federal Bureau of Investigation, and Tennessee Bureau of Investigation. Assistant U.S. Attorney Neil Smith represented the United States.

When: June 10, 2013, September 2007-17-February 2012.

Where: Johnson City, Tennessee

How: FDA-OCI Investigation.

Additional details: Kincaid purchased the his misbranded cancer medication from Quality Specialty Products (QSP), one of the foreign suppliers implicated in the counterfeit Avastin discoveries of 2012-2013. In addition to jail time, Kincaid has agreed to pay a civil penalty of $2.55 million in civil claims under the False Claims Act, due to his fraudlent dealings with Medicare. Though they were not criminally charged, Kincaid’s business partners, Millard R. Lamb and Charles O. Famoyin, have also been required to pay a fine of $850,000 apiece for their role in defrauding Medicare.

Related sources:

Johnson City Physician Sentenced To Serve Two Years In Prison For Unapproved Foreign Drugs,” Department of Justice Press Release. June 11, 2013.

Johnson City Physician Sentenced to Serve Two Years in Prison for Violations Related to Unapproved Foreign Drugs,” FBI Press Release. June 11, 2013.

Update: Johnson City doctor gets 2 years in federal prison, $10,000 fine in cancer drugs case,” Johnson City Press. June 10, 2013.

Dr. William Kincaid sentenced to two years in prison for “mistake”,” WJHL.com. June 10 2013.

Letters to Doctors about Risks of Purchasing Unapproved Versions of Botox and Other Medications from Foreign or Unlicensed Suppliers,”FDA Warning Letter to Doctors. December 19, 2012.

3 Johnson City doctors to pay $4.25 million over unapproved chemo drugs,”The Republic. July 2, 2013.

Michael Dean Combs Plea Agreement,”The U.S. Department of Justice, September 6, 2012.