Palomar Health

Palomar Health pays $250K to resolve allegations of mishandling fentanyl

The investigation further found that unused fentanyl wasn't properly disposed of, the U.S. Attorney's Office said

Exterior of Palomar Medical Center Escondido

Palomar Health has agreed to pay $250,000 to resolve allegations that fentanyl was diverted from one of its facilities in Escondido, the U.S. Attorney's Office announced Monday.

After the health care system reported to the U.S. Drug Enforcement Administration that one of its employees might have diverted controlled substances, a government investigation found that "numerous vials" of fentanyl were diverted from automated medication dispensing machines at Palomar's Cardiac Catheterization Lab in Escondido over the course of five months.

The investigation further found that unused fentanyl wasn't properly disposed of, the U.S. Attorney's Office said.

Along with the $250,000, Palomar Health has agreed to increase security and implement specialized training related to the proper handling of controlled substances, officials said.

In a statement emailed to NBC 7 on Tuesday, Palomar Health said:

"The Settlement Agreement between Palomar Health and the U.S. Department of Justice (“DOJ”) relates to a 6-month period in 2020 and 2021 when a former nurse was engaged in diverting fentanyl. The nurse was caught in March 2021 and once caught, immediately was required to stop treating patients at Palomar Health. Palomar Health did not receive any complaints from patients regarding the former nurse. Palomar Health complied with its legal obligations to report this situation to the Drug Enforcement Administration (“DEA”). Palomar Health has fully cooperated with the investigation into this matter by the DOJ.

"In the time since this conduct occurred, Palomar Health has fully upgraded the software it uses to monitor when and in what amounts staff dispense controlled substances like fentanyl. In the 3 years since these events occurred, Palomar Health has not had repeat issues with diversion of controlled substances. Palomar Health now has more robust training for all staff on identifying and reporting suspected diversion. Palomar Health has also formed a committee of nursing, pharmacy, and physician leaders to oversee investigations of failure to comply with procedures for administration of controlled substances.

"Palomar Health is committed to ensuring excellent care for patients and implementing a robust compliance program.   Palomar Health, as a local health care district serving the community, is willing to assume accountability for past problems, which is why it has agreed to enter into this Settlement Agreement."

A statement from the U.S. Attorney's Office said the settlement was reached without any determination of liability.

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