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LadyGardenSnake · 07-30-2004, 11:31 AM

Federal officials here said they have busted an illegal Internet pharmacy that sold up to $7 million worth of counterfeit versions of Viagra and other prescription drugs over the past five years.

The San Diego-based operation purchased the active ingredients of the drugs in Mexico and India, pressed them into pills and sold them to people who visited a Web site and paid $35 for a "doctor's consultation," authorities said yesterday.

No doctor ever looked at the questionnaires people filled out or decided whether the drugs would be safe for them to take, the operation's ringleader said when he pleaded guilty, federal officials said.

"This is being distributed without any oversight, without any physician," said Greg Schulte, supervisory special agent with the U.S. Bureau of Immigration and Customs Enforcement. "We've been fortunate that we haven't tied any deaths to this."

The scheme was uncovered during a yearlong investigation by his agency, the FBI, postal inspectors, the Food and Drug Administration and the Internal Revenue Service, he said.

"It's the biggest one that we've seen here in San Diego," Schulte said.

The operation sold more than 100,000 shipments of the drugs, federal officials said. More than half the shipments were of versions of Viagra.

The company purported to sell "generic" Viagra, even though the FDA has not approved the sale of anything but the name-brand version. It also sold off-brand versions of prescription anti-depressants, hair-loss treatments, pain pills and calcium supplements.

The first arrests were made March 22, and authorities said they arrested the last members of the operation Wednesday.

Pharmacist John Aldaz, 64, of Bonita and Tijuana pharmaceutical representative José Gustavo García Uriza, 55, pleaded not guilty to conspiracy, counterfeiting, fraud and money-laundering charges yesterday.

The man who admitted leading the operation, Mark Kolowich, who lived in a downtown San Diego penthouse, pleaded guilty April 30 to conspiracy to illegally import pharmaceuticals, sell counterfeit drugs, commit mail fraud and launder money. He is scheduled to be sentenced in September.

Six other people, including his live-in girlfriend, also have pleaded guilty or agreed to do so.

Kolowich and other defendants have turned over more than $1 million in cash and property after pleading guilty, officials said.

The operation grossed $2.5 million to $7 million from November 1999 to March of this year, when it was raided, officials said in court papers.

Calls to Melanie Pierson, the prosecutor in the case, were not returned.

At first, members of the ring sold real, U.S.-made Viagra. They then switched to an Indian-made version of that drug and others before buying the ingredients in bulk and making the pills themselves, Schulte said.

The pills did contain the active ingredients of the legitimate versions of the drugs, but it's unclear what else they contained or how that would affect users, he said.

"Who knows what's in (the pills)? There's no legitimate medical professional involved in this process at all," said Dan Dzwilewski, special agent in charge of the San Diego FBI office. "It's all absolute fraud."

The operation's Web site directed people yesterday to another Internet pharmacy, this one in Mexico.

07-30-2004, 11:31 AM
LadyGardenSnake So Fucking Banned Join Date: May 2004 Location: Harlem,New York Posts: 410	U.S. officials close illegal Net pharmacy Federal officials here said they have busted an illegal Internet pharmacy that sold up to $7 million worth of counterfeit versions of Viagra and other prescription drugs over the past five years. The San Diego-based operation purchased the active ingredients of the drugs in Mexico and India, pressed them into pills and sold them to people who visited a Web site and paid $35 for a "doctor's consultation," authorities said yesterday. No doctor ever looked at the questionnaires people filled out or decided whether the drugs would be safe for them to take, the operation's ringleader said when he pleaded guilty, federal officials said. "This is being distributed without any oversight, without any physician," said Greg Schulte, supervisory special agent with the U.S. Bureau of Immigration and Customs Enforcement. "We've been fortunate that we haven't tied any deaths to this." The scheme was uncovered during a yearlong investigation by his agency, the FBI, postal inspectors, the Food and Drug Administration and the Internal Revenue Service, he said. "It's the biggest one that we've seen here in San Diego," Schulte said. The operation sold more than 100,000 shipments of the drugs, federal officials said. More than half the shipments were of versions of Viagra. The company purported to sell "generic" Viagra, even though the FDA has not approved the sale of anything but the name-brand version. It also sold off-brand versions of prescription anti-depressants, hair-loss treatments, pain pills and calcium supplements. The first arrests were made March 22, and authorities said they arrested the last members of the operation Wednesday. Pharmacist John Aldaz, 64, of Bonita and Tijuana pharmaceutical representative José Gustavo García Uriza, 55, pleaded not guilty to conspiracy, counterfeiting, fraud and money-laundering charges yesterday. The man who admitted leading the operation, Mark Kolowich, who lived in a downtown San Diego penthouse, pleaded guilty April 30 to conspiracy to illegally import pharmaceuticals, sell counterfeit drugs, commit mail fraud and launder money. He is scheduled to be sentenced in September. Six other people, including his live-in girlfriend, also have pleaded guilty or agreed to do so. Kolowich and other defendants have turned over more than $1 million in cash and property after pleading guilty, officials said. The operation grossed $2.5 million to $7 million from November 1999 to March of this year, when it was raided, officials said in court papers. Calls to Melanie Pierson, the prosecutor in the case, were not returned. At first, members of the ring sold real, U.S.-made Viagra. They then switched to an Indian-made version of that drug and others before buying the ingredients in bulk and making the pills themselves, Schulte said. The pills did contain the active ingredients of the legitimate versions of the drugs, but it's unclear what else they contained or how that would affect users, he said. "Who knows what's in (the pills)? There's no legitimate medical professional involved in this process at all," said Dan Dzwilewski, special agent in charge of the San Diego FBI office. "It's all absolute fraud." The operation's Web site directed people yesterday to another Internet pharmacy, this one in Mexico.