According to the settlement agreement, defendants accepted responsibility for conduct involving high-dose opioid prescribing within a practice where some patients continued receiving controlled-substance prescriptions through recurring appointment payments despite not undergoing regular provider evaluations.
The Department of Justice (DOJ) announced that former New York physician Douglas Cline, MD, and nurse practitioner Laurie McKenna agreed to a $500,000 civil settlement stemming from allegations of unlawful opioid prescribing and a related fraudulent conveyance case. As part of the agreement, neither may apply for or hold a Drug Enforcement Administration registration to prescribe controlled substances for the next 20 years. The agreement describes a prescribing model in which some patients received high-dose opioid therapy, frequently combined with other controlled substances, while prescription access remained tied to recurring office payments despite the absence of regular provider examinations. The case is one of several included in the DOJ's 2026 National Health Care Fraud Takedown.
According to the DOJ's 2024 complaint, a combat-wounded military veteran and the veteran's spouse allegedly continued paying appointment fees to keep receiving controlled-substance prescriptions while living in the southeastern US despite not receiving regular in-person evaluations. Prosecutors also alleged that, after learning of the federal investigation, Dr. Cline transferred his Bolton Landing residence to his then-spouse, leading to a separate civil action alleging the transfer was intended to hinder federal recovery.
The settlement resolved two separate civil matters: allegations involving unlawful opioid prescribing and a fraudulent conveyance action filed after prosecutors alleged Dr. Cline transferred assets following the start of the federal investigation. Officials from the US Drug Enforcement Administration, US Department of Health and Human Services, Office of Inspector General, and Defense Criminal Investigative Service each said the alleged conduct placed profit ahead of patient care, while federal prosecutors said the resolution reinforces continued enforcement efforts.
"Medical professionals are entrusted with protecting patients' lives, not placing profits above their health and safety," said Farhana Islam, Special Agent in Charge, US Drug Enforcement Administration New York Enforcement Division.
