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Madison Doctor and Pharmacist Indicted for Conspiring to Prescribe and Dispense Oxycontin

to People with No Valid Medical Need for the Highly Addictive Painkiller

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TRENTON - Attorney General Jeffrey S. Chiesa announced that a medical doctor who is a former borough councilman in Madison, N.J., and a pharmacist who operated out of a local pharmacy were indicted today on charges they conspired to illegally distribute the highly addictive painkiller OxyContin to individuals who allegedly received prescriptions from the doctor without being treated or examined, or who had no prescriptions.

The New Jersey Division of Criminal Justice today obtained a state grand jury indictment against Dr. Vincent A. Esposito, 55, of Madison, who had an office at 322 Main Street in Madison, and Srinivasa Raju, 41, of Clifton, who operated as a pharmacist at Bottle Hill Pharmacy in Madison, charging each man with second-degree counts of conspiracy and distribution of a controlled dangerous substance, namely oxycodone. The two men were initially charged and arrested last year in an investigation by the U.S. Drug Enforcement Administration (DEA) and the Division of Criminal Justice Gangs & Organized Crime Bureau.

“It is appalling that a small-town doctor who was also a local councilman would allegedly conspire in the illicit distribution of these dangerous, highly addictive painkillers,” said Attorney General Chiesa. “We allege that he turned his physician’s oath to do no harm on its head and made a mockery of his pledge to serve the community.”

The indictment alleges that Esposito and Raju conspired to illegally distribute oxycodone between May 13 and Dec. 29, 2011. Esposito allegedly prescribed OxyContin and other forms of oxycodone, the generic name of the narcotic in OxyContin, to people he did not treat or examine, and, in some cases, never saw at all. He allegedly conspired with Raju to have the individuals fill the prescriptions at Bottle Hill Pharmacy. It is alleged that Raju dispensed oxycodone pills to individuals who did not have a prescription or who he knew did not have a valid prescription. It is further alleged that Esposito at times would write prescriptions after the fact to cover quantities of oxycodone that were dispensed by Raju without a prescription.

During the investigation, Esposito allegedly wrote prescriptions for oxycodone for confidential informants and undercover agents of the DEA in exchange for cash on at least eight occasions. In each instance, he failed to provide any treatment or perform any medical exam prior to providing the prescriptions.

With respect to the confidential informants, Esposito allegedly wrote prescriptions for 120 pills of 30 milligrams of oxycodone on at least five occasions. Thirty milligrams is a very high dose of the potent narcotic painkiller, which is usually prescribed in doses of 5 or 10 milligrams. On at least three occasions, Esposito allegedly provided undercover agents with prescriptions for 30 or 60 pills of 30 milligrams. It is alleged that Esposito typically charged $90 to write an oxycodone prescription for 120 pills of 30 milligrams.

Esposito was arrested on Feb. 16, 2012, when special agents of the DEA and detectives of the Division of Criminal Justice executed a search warrant at his office. After his arrest, Esposito’s New Jersey CDS registration was immediately suspended by the Division of Consumer Affairs, and he surrendered his federal registration to write prescriptions for controlled dangerous substances. On March 9, 2012, Esposito’s medical license was suspended by the State Board of Medical Examiners, and it remains suspended indefinitely. Esposito was initially lodged in the Morris County Jail, but he was freed after posting $75,000 bail.

Raju was arrested on March 6, 2012. He is also free on $75,000 bail.

Under New Jersey law, second-degree crimes carry a sentence of five to 10 years in state prison and a criminal fine of up to $150,000. The indictment is merely an accusation and the defendants are presumed innocent until proven guilty.

 A copy of the indictment is posted with this release at www.njpublicsafety.com.

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