Notice2025-15867

Kenneth Pherson, D.O.; Decision and Order

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Published
August 20, 2025

Issuing agencies

Justice DepartmentDrug Enforcement Administration

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<title>Federal Register, Volume 90 Issue 159 (Wednesday, August 20, 2025)</title>
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[Federal Register Volume 90, Number 159 (Wednesday, August 20, 2025)]
[Notices]
[Pages 40649-40650]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-15867]


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DEPARTMENT OF JUSTICE

Drug Enforcement Administration


Kenneth Pherson, D.O.; Decision and Order

    On December 2, 2024, the Drug Enforcement Administration (DEA or 
Government) issued an Order to Show Cause (OSC) to Kenneth Pherson, 
D.O., of Lakewood Ranch, Florida (Registrant). Request for Final Agency 
Action (RFAA), Exhibit (RFAAX) 1, at 1, 4. The OSC proposed the 
revocation of Registrant's Certificate of Registration No. FP0455142, 
alleging that Registrant's registration should be revoked because 
Registrant is ``currently without authority to prescribe, administer, 
dispense, or otherwise handle controlled substances in Florida, the 
state in which [he is] registered with DEA.'' Id. at 2 (citing 21 
U.S.C. 824(a)(3) and 21 CFR 1301.37(b)).
    The OSC notified Registrant of his right to file a written request 
for hearing, and that if he failed to file such a request, he would be 
deemed to have waived his right to a hearing and be in default. Id. 
(citing 21 CFR 1301.43). Here, Registrant did not request a hearing. 
RFAA, at 3.\1\ ``A default, unless excused, shall be deemed to 
constitute a waiver of the registrant's/applicant's right to a hearing 
and an admission of the factual allegations of the [OSC].'' 21 CFR 
1301.43(e).
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    \1\ Based on the Government's submissions in its RFAA dated 
February 19, 2025, the Agency finds that service of the OSC on 
Registrant was adequate. The included declaration from a DEA 
Diversion Investigator (DI) indicates that on December 11, 2024, the 
DI attempted to personally serve Registrant with a copy of the OSC 
at Registrant's DEA registered address but was unsuccessful. RFAAX 
2, at 1. Later that day, ``another DEA employee'' attempted to 
personally serve Registrant with a copy of the OSC at Registrant's 
personal address, but that attempt was also unsuccessful, as there 
was no answer at the residence. Id. On December 16, 2024, the DI 
mailed a copy of the OSC to Registrant's personal address through 
USPS certified mail and was able to ascertain by the mailing's 
tracking number that on December 23, 2024, that delivery was 
successful, as the copy of the OSC was ``left with individual.'' Id. 
at 1-2; RFAAX 2, Attachment A.
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    Further, ``[i]n the event that a registrant . . . is deemed to be 
in default . . . DEA may then file a request for final agency action 
with the Administrator, along with a record to support its request. In 
such circumstances, the Administrator may enter a default final order 
pursuant to [21 CFR] 1316.67.'' Id. 1301.43(f)(1). Here, the Government 
has requested final agency action based on Registrant's default 
pursuant to 21 CFR 1301.43(c) and (f). RFAA, at 1; see also 21 CFR 
1316.67.

Findings of Fact

    The Agency finds that, in light of Registrant's default, the 
factual allegations in the OSC are admitted. According to the OSC, on 
or about August 29, 2024, the State of Florida Board of Osteopathic 
Medicine suspended Registrant's Florida osteopathic medical license. 
RFAAX 1, at 2. According to Florida online records, of which the Agency 
takes official notice, Registrant's Florida osteopathic medical license 
remains suspended.\2\ <a href="https://mqa-internet.doh.state.fl.us/MQASearchServices/Home">https://mqa-internet.doh.state.fl.us/MQASearchServices/Home</a> (last visited date of signature of this Order). 
Accordingly, the Agency finds that Registrant is not licensed to 
practice as an osteopathic physician in Florida, the state in which he 
is registered with DEA.\3\
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    \2\ Under the Administrative Procedure Act, an agency ``may take 
official notice of facts at any stage in a proceeding--even in the 
final decision.'' United States Department of Justice, Attorney 
General's Manual on the Administrative Procedure Act 80 (1947) (Wm. 
W. Gaunt & Sons, Inc., Reprint 1979).
    \3\ Pursuant to 5 U.S.C. 556(e), ``[w]hen an agency decision 
rests on official notice of a material fact not appearing in the 
evidence in the record, a party is entitled, on timely request, to 
an opportunity to show the contrary.'' The material fact here is 
that Registrant, as of the date of this Order, is not licensed to 
practice osteopathic medicine in Florida. Accordingly, Registrant 
may dispute the Agency's finding by filing a properly supported 
motion for reconsideration of findings of fact within fifteen 
calendar days of the date of this Order. Any such motion and 
response shall be filed and served by email to the other party and 
to the Office of the Administrator, Drug Enforcement Administration, 
at <a href="/cdn-cgi/l/email-protection#482c2d2966292c2c2766293c3c273a262d313b082c2d29662f273e"><span class="__cf_email__" data-cfemail="d3b7b6b2fdb2b7b7bcfdb2a7a7bca1bdb6aaa093b7b6b2fdb4bca5">[email&#160;protected]</span></a>.

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[[Page 40650]]

Discussion

    Pursuant to 21 U.S.C. 824(a)(3), the Attorney General is authorized 
to suspend or revoke a registration issued under 21 U.S.C. 823 ``upon a 
finding that the registrant . . . has had his State license or 
registration suspended . . . [or] revoked . . . by competent State 
authority and is no longer authorized by State law to engage in the . . 
. dispensing of controlled substances.'' With respect to a 
practitioner, DEA has also long held that the possession of authority 
to dispense controlled substances under the laws of the state in which 
a practitioner engages in professional practice is a fundamental 
condition for obtaining and maintaining a practitioner's registration. 
Gonzales v. Oregon, 546 U.S. 243, 270 (2006) (``The Attorney General 
can register a physician to dispense controlled substances `if the 
applicant is authorized to dispense . . . controlled substances under 
the laws of the State in which he practices.' . . . The very definition 
of a `practitioner' eligible to prescribe includes physicians 
`licensed, registered, or otherwise permitted, by the United States or 
the jurisdiction in which he practices' to dispense controlled 
substances. Sec.  802(21).''). The Agency has applied these principles 
consistently. See, e.g., James L. Hooper, M.D., 76 FR 71371, 71372 
(2011), pet. for rev. denied, 481 F. App'x 826 (4th Cir. 2012); 
Frederick Marsh Blanton, M.D., 43 FR 27616, 27617 (1978).\4\
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    \4\ This rule derives from the text of two provisions of the 
CSA. First, Congress defined the term ``practitioner'' to mean ``a 
physician . . . or other person licensed, registered, or otherwise 
permitted, by . . . the jurisdiction in which he practices . . . , 
to distribute, dispense, . . . [or] administer . . . a controlled 
substance in the course of professional practice.'' 21 U.S.C. 
802(21). Second, in setting the requirements for obtaining a 
practitioner's registration, Congress directed that ``[t]he Attorney 
General shall register practitioners . . . if the applicant is 
authorized to dispense . . . controlled substances under the laws of 
the State in which he practices.'' 21 U.S.C. 823(g)(1). Because 
Congress has clearly mandated that a practitioner possess state 
authority in order to be deemed a practitioner under the CSA, DEA 
has held repeatedly that revocation of a practitioner's registration 
is the appropriate sanction whenever he is no longer authorized to 
dispense controlled substances under the laws of the state in which 
he practices. See, e.g., James L. Hooper, M.D., 76 FR at 71371-72; 
Sheran Arden Yeates, M.D., 71 FR 39130, 39131 (2006); Dominick A. 
Ricci, M.D., 58 FR 51104, 51105 (1993); Bobby Watts, M.D., 53 FR 
11919, 11920 (1988); Frederick Marsh Blanton, M.D., 43 FR at 27617.
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    According to Florida statute, ``[a] practitioner, in good faith and 
in the course of his or her professional practice only, may prescribe, 
administer, dispense, mix, or otherwise prepare a controlled 
substance.'' Fla. Stat. Sec.  893.05(1)(a) (2025). Additionally, 
according to Florida statute, ``dispense'' means ``the transfer of 
possession of one or more doses of a medicinal drug by a pharmacist or 
other licensed practitioner to the ultimate consumer thereof or to one 
who represents that it is his or her intention not to consume or use 
the same but to transfer the same to the ultimate consumer or user for 
consumption by the ultimate consumer or user.'' Fla. Stat. Sec.  
893.02(7) (2023). Further, a ``practitioner'' as defined by Florida 
statute includes ``an osteopathic physician licensed under chapter 
459.'' \5\ Id. at Sec.  893.02(23).
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    \5\ Chapter 459 regulates osteopathic medical practice and 
applies to Registrant; it defines an ``osteopathic physician'' as 
``a person who is licensed to practice osteopathic medicine in this 
state.'' Fla. Stat. Sec.  459.003(4).
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    Here, the undisputed evidence in the record is that Registrant 
lacks authority to practice as an osteopathic physician in Florida 
because his Florida osteopathic medical license has been suspended. As 
discussed above, an individual must be a licensed practitioner to 
dispense a controlled substance in Florida. Thus, because Registrant 
lacks authority to practice as an osteopathic physician in Florida and, 
therefore, is not authorized to dispense controlled substances in 
Florida, Registrant is not eligible to maintain a DEA registration in 
Florida. Accordingly, the Agency will order that Registrant's DEA 
registration be revoked.

Order

    Pursuant to 28 CFR 0.100(b) and the authority vested in me by 21 
U.S.C. 824(a), I hereby revoke DEA Certificate of Registration No. 
FP0455142, issued to Kenneth Pherson, D.O. Further, pursuant to 28 CFR 
0.100(b) and the authority vested in me by 21 U.S.C. 823(g)(1), I 
hereby deny any pending applications of Kenneth Pherson, D.O., to renew 
or modify this registration, as well as any other pending application 
of Kenneth Pherson, D.O., for additional registration in Florida. This 
Order is effective September 19, 2025.

Signing Authority

    This document of the Drug Enforcement Administration was signed on 
August 11, 2025, by Administrator Terrance Cole. That document with the 
original signature and date is maintained by DEA. For administrative 
purposes only, and in compliance with requirements of the Office of the 
Federal Register, the undersigned DEA Federal Register Liaison Officer 
has been authorized to sign and submit the document in electronic 
format for publication, as an official document of DEA. This 
administrative process in no way alters the legal effect of this 
document upon publication in the Federal Register.

Heather Achbach,
Federal Register Liaison Officer, Drug Enforcement Administration.
[FR Doc. 2025-15867 Filed 8-19-25; 8:45 am]
BILLING CODE 4410-09-P


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Indexed from Federal Register on August 20, 2025.

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