White Collar Criminal Defense Group

BP Temporarily Suspended From Winning New Contracts With The Federal Government

The Environmental Protection Agency (“EPA”) has temporarily suspended BP from winning new contracts with the federal government.  The decision comes less than two weeks after BP pled guilty to criminal charges and agreed to pay a record $4.5 billion in fines and other fees for the April 2010 drilling disaster in the Gulf of Mexico as discussed in a White-Collared post on November 17th. According to an EPA News Release, the suspension is the result of BP’s “lack of business integrity as demonstrated by the company’s conduct with regard to the Deepwater Horizon blowout, explosion, oil spill and response.” The Release stated that the suspension will remain in place until the company provides sufficient evidence that it meets “federal business standards.”

In a statement released after the announcement, BP stressed that the suspension does not affect any existing contracts that the company has with the U.S. government.  The company further made clear that it expects the suspension to be lifted soon.  According to BP, it has been in regular communication with the EPA in an effort to establish its qualifications to conduct business with the government. The EPA has informed BP that “it is preparing a proposed administrative agreement that, if agreed upon, would effectively resolve and lift this temporary suspension.”

“Pill Mill” Doctor Charged With Causing Death

On November 29, 2012, a federal grand jury charged Dr. Norman Werther, 73, who operated a physical therapy and rehabilitation practice in Willow Grove, PA, with distributing a controlled substance resulting in death. This is the first such case brought in U.S. District court for the Eastern District of Pennsylvania. The death charge was contained in a third superseding indictment that also added 9 new defendants. According to the superseding indictment, Werther conspired with 6 drug traffickers to illegally distribute millions of dollars in prescription drugs, including oxycodone. The death charge relates to 180 oxycodone pills illegally dispensed by Werther to an individual who died from an overdose. Werther faces a mandatory 20 years and maximum sentence of life in prison if convicted of all charges.