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UPS Agrees To Forfeit $40 Mln Over Illegal Drug Shipments

United Parcel Service (UPS: Quote), the world's largest package delivery company, agreed to forfeit $40 million in payments it has received from illicit online pharmacies and to implement a compliance program designed to ensure that illegal online pharmacies will not be able to use UPS's services to distribute drugs, the U.S. Drug Enforcement Administration or DEA said on Friday.

From 2003 through 2010, UPS was on notice, through some of its employees, that Internet pharmacies were using its services to distribute controlled substances and prescription drugs without valid prescriptions in violation of the law. Internet pharmacies operate illegally when they distribute controlled substances and prescription drugs that are not supported by valid prescriptions, the DEA said.

A prescription based solely on a customer's completion of an on-line questionnaire was not valid. Despite being on notice that this activity was occurring, UPS did not implement procedures to close the shipping accounts of Internet pharmacies, the DEA said.

by RTT Staff Writer

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