FedEx has been indicted by the U.S. Department of Justice for distributing prescription drugs and controlled substances for illegal online pharmacies. FedEx, which moves more than 10 million packages a day, plans to fight the charges and faces fines of more than $1.6 billion if found guilty.
- In a press release, the Justice Department said it told FedEx a decade ago that illegal pharmacies were using it to deliver drugs to dealers and addicts. Instead of clamping down, it established policies to protect revenue and sales commission earned from these shipments.
- FedEx denied the charges: “The government is suggesting that FedEx assume criminal responsibility for the legality of the contents of the millions of packages that we pick up and deliver every day. We are a transportation company—we are not law enforcement. We have no interest in violating the privacy of our customers.”
- Last year, the Justice Department struck a non-prosecution deal with United Parcel Service where UPS agreed to turn over $40 million in sales gained by delivering illegal drugs.