The DEA suspended Cardinal Health’s license to distribute controlled substances, probably temporarily. Lisa Gill, JP Morgan’s drug analyst, said she doesn’t expect the DEA decision to impact Cardinal’s earnings. Of course, she’s right. It won’t hurt them, it will just be a blip on the radar. But shouldn’t someone at JP Morgan at least question the command channel or ethical behavior of Cardinal management? One in ten high school seniors abuse Vicodin and Oxycontin and at least one person has become addicted since this news broke. Drug rehab is in the cards for lot of people because Cardinal just can’t be trusted with a license to distribute dangerous drugs.

What was Cardinal’s response to the suspension for dealing in Vicodin? The company will “cooperate fully with the DEA.” Big deal. What about the people who became addicted and now need drug rehab?

When the DEA makes a large drug bust you would think it would be a drug trafficking organization out of Mexico, Southeast Asia or the Caribbean. And you’d think it would be a dealer.

But this ‘bust’ is none of that. Prescription drug abuse and addiction has been described as an epidemic. It is out of control.  And Cardinal Health, one of the largest healthcare companies in the U.S. is a broker, a middle man, involved in one of the biggest sources of illegal prescription drugs on the market – drug diversion: when the supply channel goes somewhere other than where it’s supposed to.

And it’s happening right here, close to Tampa, Florida – an area the DEA describes as ground zero for Internet drug diversion.

In Cardinal Health, the DEA has found a source of drug diversion that may provide some insight into the profit goals of one of the largest health care companies in the U.S., and investment banker JP Morgan.

Besides Cardinal, who was making all the money? And has anyone lost their job? And should anyone be going to jail? And who’s going to pay for the drug rehab program  needed by those who are now addicted?

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