FORT LAUDERDALE, FLA. (WSVN) – A federal jury in Fort Lauderdale has convicted two Maryland brothers of orchestrating a multimillion-dollar scheme to buy and resell misbranded HIV medication, much of it funneled through South Florida suppliers and pharmacies, authorities said.
According to the Department of Justice, Patrick Boyd, 47, and Charles Boyd, 43, owners of the pharmaceutical wholesale company Safe Chain Solutions, were found guilty Oct. 29 of multiple charges, including conspiracy to introduce misbranded drugs into interstate commerce, trafficking in medical products with false documentation, and wire fraud.
Their co-owner, Adam Brosius, previously pleaded guilty.
Prosecutors said the brothers purchased more than $92 million in black-market HIV drugs from at least five illegal suppliers and resold them to thousands of pharmacies nationwide — including in South Florida — using falsified paperwork to disguise the medications’ origins.
Evidence at trial showed that one supplier, Peter Khaim, shipped bottles stuffed into scavenged cardboard boxes — including a diaper box — with many containers dirty, scuffed, missing labels or containing the wrong medication, according to the DOJ.
The Boyds accepted and resold the drugs despite repeated complaints from pharmacies about tampering, prosecutors said.
At least one patient suffered a medical emergency after ingesting Seroquel, an antipsychotic, that had been mislabeled as HIV medication, leading to a 24-hour loss of consciousness, according to the DOJ.
Prosecutors said that missing doses of HIV medication can raise viral loads and increase transmission risk, particularly in communities with high infection rates.
More than $42 million of the misbranded drugs were supplied by Gentek, whose leaders operated out of Miami.
One Miami-based leader has already been sentenced to 15 years in prison.
Two former Safe Chain compliance officials testified they repeatedly warned the Boyds about the dangers of buying from black-market sources but were ignored.
According to prosecutors, one said the brothers discouraged documentation and often responded to compliance concerns with the phrase “FITFO” — short for “Figure it the **** out.”
The Boyds each face up to 20 years in prison on the wire fraud charge and additional penalties on the remaining counts. Sentencing has not been scheduled.
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