BUFFALO, N.Y.--U.S. Attorney James P. Kennedy, Jr. announced today that James T. Keefe, 39, of Florida, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to conspiring to possess with intent to distribute, and to distribute, oxycodone, hydrocodone, and amphetamine. The charge carries a maximum penalty of 20 years in prison, and a fine of $1,000,000.
Assistant U.S. Attorneys Timothy C. Lynch and Joshua Violanti, who are handling the case, stated that the defendant was a New York State licensed physician who was previously employed as a contracted physician at the Erie County Medical Center (ECMC), Mercy Hospital of Buffalo, and the Monsignor Carr Institute. Between Jan. 1, 2014, and Feb. 23, 2018, Keefe conspired to divert, and diverted, Schedule II and Schedule IV controlled substances by issuing fraudulent prescriptions to his co-workers, friends, and drug-dealing and drug-using associates, including, co-defendants Benjamin Rivera, Laura Ricotta, Takeya Rainey, and Phousavath Luangrath. These prescriptions were issued without a legitimate medical purpose and outside the usual course of professional practice.
The defendant and co-defendant Rivera have been associates for several years. For nearly five years, Rivera sold cocaine to Keefe, who was active user of cocaine, Adderall, and prescription opiates. In January 2014, the defendant began issuing prescriptions in the names of Rivera and nine of Rivera’s relatives and associates to exchange for cocaine and for a share of the prescribed drugs. Neither Rivera nor any of his relatives or associates were patients of Keefe.
In April 2015, the defendant began issuing prescriptions to Rivera’s girlfriend, co-defendant Laura Ricotta. Keefe also used the names and personal information of six relatives and associates of Ricotta to issue fraudulent prescriptions. Neither Ricotta nor any of her relatives or associates were patients of the defendant. Keefe often drove Ricotta to a pharmacy to a pharmacy to fill the prescriptions, which the two then split.
In the summer of 2017, the defendant began issuing prescriptions to co-defendant Takeya Rainey. Rainey also provided the names of her relatives and associates to Keefe, none of whom were his patients. In exchange for the controlled substances, the defendant sometimes gave Rainey gift or Visa cash cards.
Beginning in January of 2017, Keefe and co-defendant Luangrath were involved in an intimate relationship. At some point, the defendant Luangrath agreed to allow the defendant to issue prescriptions in her name.
Between Jan. 1, 2014, and Feb. 23, 2018, the defendant issued 179 fraudulent prescriptions in his own name and the names of others, for Schedule II and Schedule IV controlled substances.
Rivera, Rainey, and Luangrath were previously convicted. Charges remain pending against Ricotta. The fact that a defendant has been charged with a crime is merely an accusation, and the defendants are presumed innocent until and unless proven guilty.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan.
Sentencing is scheduled for July 31, 2020, before Judge Vilardo. #
Source: U.S. Department of Justice, Office of the United States Attorneys
