Criminal Diversion of Prescriptions
Criminal Diversion of Prescriptions in New York City
While not prosecuted as heavily as other drug and narcotic offenses, New York has robust criminal laws regarding prescription drug fraud and the illicit diversion of prescription medications. It is important to note that the information provided here is not a substitute for consulting with our experienced NYC criminal defense attorney who specializes in drug and prescription medication crimes. However, it serves as a starting point for familiarizing oneself with these offenses.
Criminal diversion of prescription medications and prescriptions, as outlined in New York Penal Law sections 178.10, 178.15, 178.20, and 178.25, carries varying degrees of severity. The penalties range from an “A” misdemeanor, punishable by up to one year in jail (such as Rikers Island if charged in Manhattan, Brooklyn, or elsewhere in New York City), to a “C” felony, carrying a maximum sentence of fifteen years in state prison. If you’re facing similar charges, contact Sosinsky Law now for a free consultation.
What is Criminal Diversion of Prescriptions?
In 1995, New York’s Legislature implemented reforms to address public concerns about the escalating costs of Medicaid and welfare subsidies. As part of these changes, the Penal Law was amended to include the criminal offense of diverting prescription medications and prescriptions (commonly known as Criminal Diversion of Prescriptions). Despite recognizing that the increasing costs were partly driven by fraudulent billing practices within doctors’ offices and state pharmacies, prosecutions for this offense remained infrequent.
Criminal Diversion of Prescription Medications and Prescription in the Fourth Degree
With the implementation of the Affordable Care Act, there has been a renewed focus on the escalating costs of taxpayer-subsidized healthcare and insurance. This has brought attention to the pressing need for effective solutions. Under Section 178.10 of the New York Penal Law, an individual can be charged with Criminal Diversion of Prescription Medications and Prescriptions in the Fourth Degree for engaging in such unlawful behavior. The term “Criminal Diversion Act” refers to the act of receiving or selling a prescription for monetary gain, with knowledge or reasonable belief that:
- The person buying has no medical need for it, OR
- The person selling it is not authorized to sell it by law.
Penalties for Criminal Diversion of Prescription Medications and Prescriptions in the Fourth Degree
Under New York Law, the offense of Criminal Diversion of Prescription Medications and Prescriptions in the Fourth Degree is considered the least severe among all criminal diversion charges. It is classified as a Class “A” misdemeanor, carrying with it the potential for punishment.
- Up to 1 year in prison;
- Probation of up to 3 years;
- Time Served (even if that’s only from arrest to seeing the judge for arraignment);
- Conditional Discharge;
- Unconditional Discharge (no sentencing conditions set by the Court).
Criminal Diversion of Prescription Medications and Prescription in the Third Degree
In New York, the offense of Criminal Diversion of Prescription Medications and Prescriptions is defined by NY Penal Law Section 178.15. According to this law, an individual can be charged with Criminal Diversion of Prescription Medications and Prescriptions in the Third Degree if they:
- Commits a criminal diversion act, and the value of the benefit exchanged is in excess of $1,000; or
- Commits the crime of Criminal Diversion of Prescription Medications and Prescriptions in the Fourth Degree, and has previously been convicted of the crime of Criminal Diversion of Prescription Medications and Prescriptions in the Fourth Degree.
Penalties for Criminal Diversion of Prescription Medications and Prescription in the Third Degree
Criminal Diversion of Prescription Medications and Prescriptions in the Third Degree constitutes a Non-violent Felony of Class “E”. Consequently, this offense carries the potential for punishment as follows:
- Up to 1 1/3 to 4 years in prison;
- A determinate jail term of 1 year or less;
- A split sentence (up to 6 months prison, rest of the time on probation);
- Probation (3, 4, or 5 years in duration);
- A conditional discharge (with the sentencing court setting conditions – 3 years);
- An unconditional discharge (no conditions needed as part of the sentence).
Criminal Diversion of Prescription Medications and Prescription in the Second Degree
The offense of Criminal Diversion of Prescription of Medications and Prescription in the Second Degree is outlined in Section 178.20 of the New York Penal Law. To secure a conviction for this offense, the prosecution must establish, beyond a reasonable doubt, two essential elements.
- First, the person committed a criminal diversion act;
- Second, the value of the benefit exchanged is in excess of $3,000.
Penalties for Criminal Diversion of Prescription Medications and Prescription in the Second Degree
Under New York Law, the act of criminally diverting prescription medications and prescriptions in the second degree is classified as a Class “D” Non-Violent Felony. Consequently, this charge carries a punishment that reflects its severity.
- Up to 2 1/3 to 7 years in prison (indeterminate sentence);
- A determinate sentence of up to 1 year in prison;
- A split sentence (up to 6 months jail, rest of the time on probation);
- Probation (5 years);
- A conditional discharge (3 years).
Criminal Diversion of Prescription Medications and Prescription in the First Degree
The most severe among the New York Criminal Diversion Statutes for Prescription Medications is Criminal Diversion in the First Degree. This offense is defined in Section 170.25 of the New York Penal Law. According to this section, an individual is deemed guilty of Criminal Diversion of Prescription Medications and Prescriptions in the First Degree when they:
- Commits a criminal diversion act, AND
- The value of the benefit exchanged is in excess of fifty thousand dollars.
Penalties for Criminal Diversion of Prescription Medications and Prescription in the First Degree
Criminal Diversion of Prescription Medications and Prescriptions in the First Degree is classified as a Class “C” Non-violent Felony. Consequently, this specific charge carries the following penalties:
- Up to 5 to 15 years in prison;
- Determinate sentence up to 2 years in prison;
- Probation;
- Split sentence;
- Conditional discharge.
Charges Associated with the Criminal Diversion of Prescription Medication
Often, cases of prescription medication diversion in New York are coupled with additional criminal charges. These related charges can encompass a range of offenses.
Fraud and Deceit Related to Controlled Substances
In New York, this charge criminalizes the acquisition of a controlled substance or a prescription for a controlled substance through fraudulent means, receipt, misrepresentation, or the concealment of material facts. Classified as a class “A” Misdemeanor, this offense carries a maximum penalty of 1 year of imprisonment.
Criminal Possession of Forged Instrument
In accordance with New York law, it is considered a criminal offense to be in possession of a forged instrument with the intention of defrauding, deceiving, or causing harm to another individual. This charge specifically applies to the possession of forged prescriptions. The severity of the charge varies based on the actions associated with the use of the forged prescription.
Petit Larceny or Grand Larceny
In the event that a prescribed medication is stolen, charges of Petit Larceny or Grand Larceny may be filed, with the severity of the charges dependent on the value of the stolen property. If the value is below $1,000, the appropriate charge is Petit Larceny, whereas if the value exceeds $1,000, the appropriate charge is Grand Larceny.
Petit Larceny is classified as a Class “A” Misdemeanor and carries a maximum penalty of 1 year imprisonment. Grand Larceny charges are categorized into four degrees based on the value of the property. Since all Grand Larceny charges are felonies, they are subject to imprisonment for more than 1 year.
Statute of Limitations for New York Criminal Diversion of Prescription Medication Charges
Under New York Law, the statute of limitations for charges related to Criminal Diversion of Prescription Medication varies depending on the severity. For offenses classified as a Class “A” Misdemeanor, such as Criminal Diversion of Prescription Medication in the Fourth Degree, the statute of limitations is 2 years. However, for more serious offenses, such as Criminal Diversion of Prescription Medication in the Third, Second, and First Degree, which are considered felonies, the statute of limitations extends to 5 years.
Contact Our NYC Prescription Diversion Defense Lawyer Now
If you or someone you know is under investigation for billing prescription drugs to insurance or state Medicaid or Medicare programs, our experienced defense attorneys in New York are available for a consultation. We approach every client’s criminal case with utmost dedication and zeal, treating it as if it were our own. With decades of experience handling drug offenses and white-collar criminal charges, rest assured that your case will be effectively handled from the start. Don’t delay, contact Sosinsky Law now to schedule a free consultation with our trusted NYC criminal defense lawyer.