Pubdate: Mon, 31 Jan 2000 Source: Birmingham News (AL) Copyright: 2000 The Birmingham News Contact: 2200 4th Avenue North, Birmingham AL 35203 Fax: (205) 325-2283 Website: http://www.al.com/bhamnews/bham.html Forum: http://www.al.com/forums/ Author: Chanda Temple, staff writer Bookmark: MAP's link to Alabama articles is: http://www.mapinc.org/states/al DOCTOR AT CENTER OF DRUG PROBE Group Sold Pills, Prosecutors Say As a doctor, Edward James Peterson Jr. treated patients for a variety of ailments. Now federal prosecutors say the doc not only prescribed drugs for pain, but also for abuse. Peterson is serving a two-year prison term after pleading guilty last June to a federal charge of dispensing a controlled substance. In 1997, Peterson's license to practice medicine was taken away for the second time in 10 years. Four people have been arrested or convicted in the ongoing federal investigation of the drug case involving Peterson, his patients or those who posed as patients. The latest conviction came last Wednesday when Loraine Harold Alexander, 43, pleaded guilty on a charge he conspired with Peterson to get drugs through fraud and deception. Federal prosecutor Ronald Brunson said the investigation of the case is continuing, but he declined to give further details of the probe. No Medical Purpose The drugs that have caused Peterson to come under investigation were not used for any "qualified medical purpose," said Brunson. Peterson made the whole deal happen by using his medical license, he said. "It's not your run-of-the-mill drug case in that it did not involve street drugs," Brunson said. "He had to have his medical license to do this. None of the others did." The illegal prescription drug case centers on Peterson, a 52-year-old doctor from Leeds who has faced mandatory drug testing and lost his medical license twice over his use of the painkiller hydrocodone dating back to 1986, according to records from the Alabama Board of Medical Examiners. State records show that Peterson administered controlled substances to himself and others for "no legitimate medical purpose" between January 1985 and October 1986. The board ordered him to take drug tests, restricted his use to write prescriptions and told him to attend Alcoholics Anonymous, among other things. He tested positive for hydrocodone and eventually lost his medical license in June 1987, state records show. The Medical Licensure Commission of Alabama reinstated Peterson's license in March 1988 with various restrictions, including that Peterson be on probation for three years. The restrictions were dropped in 1991 after probation. Peterson faltered again and was arrested in 1997 on a federal charge of illegally dispensing the controlled narcotic oxycodone from about September 1996 to September 1997, according to federal court records. He surrendered his medical license in October 1997, and pleaded guilty in December 1998 to one federal count of dispensing a controlled substance, records show. While Peterson was awaiting sentencing in the federal case, Tarrant police arrested him March 12, 1999, after catching him deliver six Lortab painkillers to an informant, said Jefferson County prosecutor Brandon Falls. Police also found 86 other pills in Peterson's car, Falls said. Defense attorney John Sudderth, who represented Peterson in state court, sees things differently in the Tarrant case. "Those are totally disputed facts," Sudderth said Friday. "It's been adjudicated," Sudderth said. "Gone before the judge. It's history." Birmingham attorney Bill Clark, who represented Peterson in federal court, refrained from comment Friday, saying he would not discuss the case without first contacting Peterson. In June 1999, Peterson was sentenced to two years in federal prison. Five months later he appeared in Jefferson County Circuit Court and was sentenced to two years in prison on one count of distributing a controlled substance and one count of possession of a controlled substance in connection with the Tarrant case. Peterson's two-year federal and two-year state sentences will run concurrently, said Falls. Falls said it was not the amount of pills alone that made Peterson's actions illegal in the Tarrant case, but that he unlawfully distributed them. When Peterson is released from prison, he will be on a three-year supervised probation and must undergo drug treatment. "The federal law treats people the same whether they are a doctor or street seller of cocaine," Brunson said. "Most addicts continue feeding their addiction until successfully treated." Larry Dixon, executive director of the state's Board of Medical Examiners, said it's "extremely uncommon" for a doctor to abuse the authority to prescribe controlled substances. He said the medical community would view Peterson as an "anomaly." Pain Killers Prosecutors say Alexander, the patient who pleaded guilty last week, was part of a scheme handled by Peterson where the physician wrote pain killer prescriptions for certain patients. The patients got the prescriptions filled and returned the drugs to Peterson for him to use, Brunson said. For their trouble, the patients would get to take or sell some of the pills. The overall operation involved what the Drug Enforcement Administration calls the most abused prescription drug in the state - hydrocodone, Brunson said. Prosecutors said Alexander got prescriptions for Lorcet, a pain killer that contains the drug hydrocodone, filled for Peterson. Abuse of Privilege "What he did is an extreme abuse of privilege. The vast majority of your doctors would agree that there are a lot of privileges that go hand and hand with being a medical doctor," Dixon said. "But there are also extreme responsibilities. He abused those privileges and did not accept the responsibility. "I don't know why someone would throw away the training and privileges that he's had. It just doesn't make any sense to me," Dixon said. - --- MAP posted-by: Eric Ernst