§ 21-28-3.09 - Denial, revocation, or suspension of licenses.

SECTION 21-28-3.09

   § 21-28-3.09  Denial, revocation, orsuspension of licenses. – (a) A license to manufacture, distribute, or dispense a controlled substance,may be suspended or revoked by the director of health upon finding that thelicensee:

   (1) Has materially falsified any application filed pursuantto this chapter or required by this chapter;

   (2) Has been convicted of any violation of the provisions ofthis chapter or any law of the United States or of any state relating to anysubstances defined in this chapter as a controlled substance;

   (3) Has had his or her federal registration suspended orrevoked by competent federal law to engage in the manufacture, distribution, ordispensing of controlled substances; or

   (4) Has violated any provisions of this chapter.

   (b) The director of health may limit revocation or suspensionof a license to a particular controlled substance with respect to which groundsfor revocation or suspension exist.

   (c) Before taking action pursuant to this section or pursuantto a denial of license under this section, the director of health shall serveupon the applicant or licensee an order to show cause why license should not bedenied, revoked, or suspended. The order to show cause shall contain astatement of the basis of the order and shall call upon the applicant orlicensee to appear before the director of health at a time and place stated inthe order but in no event less than thirty (30) days after the date of receiptof the order. Proceedings to deny, revoke, or suspend shall be conductedpursuant to this section in accordance with chapter 35 of title 42, theAdministrative Procedures Act. The proceedings shall be independent of, and notin lieu of, criminal prosecutions or other proceedings under this chapter orany law of the state.

   (d) The director of health may suspend for a period of ten(10) days any license simultaneously with the institution of proceedings underthis section in cases where he or she finds that there is an imminent danger tothe public safety or health. The suspension shall continue in effect until theconclusion of the proceedings, including judicial review of them, unless soonerwithdrawn by the director of health or dissolved by a court of competentjurisdiction.

   (e) In the event the director of health suspends or revokes alicense granted under this chapter, all controlled substances owned orpossessed by the licensee pursuant to the licensure at the time of suspensionor the effective date of the revocation order, as the case may be, may beplaced under embargo by the director of health. No disposition may be made ofsubstances under embargo until the time for taking an appeal has elapsed oruntil all appeals have been concluded unless a court, upon application for thecourt order, orders the sale of perishable substances and the deposit of theproceeds of the sale with the court. Upon revocation order becoming final, allcontrolled substances shall be forfeited to the director of health fordestruction.