New Jersey pharma execs plead guilty to selling moldy drugs

Two former drug executives at a Tinton Falls, N.J.-based cancer drug distribution company on Friday pled guilty to selling medical supplies contaminated with mold, reports New York Daily News.

Gerald Tighe, president and owner of Med Prep Consulting, and Stephen Kalinoski, the company's pharmacist-in-charge, admitted to wire fraud conspiracy in a New York City Supreme Court. The company processed numerous medications, including oncology and pain drugs, in a facility that failed to meet basic industry standards, according to the Department of Justice. Prosecutors allege Med Prep lied to healthcare providers and hospitals, claiming the company adhered to or exceeded industry laws related to sterile drug preparation.

Court documents highlighted a 2013 incident in which clinicians at Yale-New Haven (Conn.) Hospital found floating particles in four Med Prep IV bags, later confirmed as mold.

Med Prep halted drug production in 2013, and Mr. Tighe and Mr. Kalinoski were charged with wire fraud in 2015. They face up to five years in prison.

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