ML20023C876

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Disagrees w/800313 Memo to Chairman Re Civil Penalties Resulting from Notice of Violation Issued to Nuclear Pharmacy,Inc
ML20023C876
Person / Time
Issue date: 03/18/1980
From: Stello V
NRC OFFICE OF INSPECTION & ENFORCEMENT (IE)
To: Jamarl Cummings
NRC OFFICE OF INSPECTOR & AUDITOR (OIA)
Shared Package
ML20023A415 List:
References
FOIA-82-515 NUDOCS 8305180186
Download: ML20023C876 (2)


Text

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t March 18,1980 l

1 MEMORANDUM FOR: James J. Cts:ntngs l

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FROM:

Victor Stallo. Jr.

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SUBJECT:

0!A MEMD TO CHAIRMAN' ON NUCt. EAR PHARMACY, INC.

it In igy opinion your meno to the Chairman of March 13 regarding the 1961 matter is

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5 way off base. My belief is based upon the following additional facts which am not mentioned in your memo or in the letters from Mr. Greenspun. These addf-tional facts are based upon both ugy own knowledge and infomation which has been provided to me by OELD.

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1.

On November 8,1979 an E1.0 lawyer (Mr. Bachmann) net with your assistant Mr. Fortuna and two DOJ 1awyers to discuss the NPI case.

Mr. Bachmann told Mr. Fortuna and the D0J 1awyers that the IE people

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were considering some sort of cocpromise of the civil penalty case.

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Neither Mr. Fortuna nor the D0J 1awyers opposed a compromise course

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Y and, in fact, tentative compromise discussions were initiated on

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November 16. No assurances of any sort wem given in these p:eliminary talks. At the suggestion of ym:r office. Mr. Bachmann contacted Mr.

H Greenspun on November 29 to be sure that the NRC's pursuit of a com-promise agreement was all right with DOJ. For the first time in that telephone call Mr. Greenspun asked that we refrain from further settle-ment discussions. Mr. Greenspun gave no indication that the previous

' 4 discussions had injured the D0J criminal case. Indeed in subsequent c+-

meeting on December 14 between Mr. Greenspun. MRC representatives from

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0IA, IE, MM55 SD and El.D. and a representative from FDA, Mr. Greenspun infomally asked IE not to pursue civil penalties against NPI until be quested NRC and FDA assistance in inte n reting th'e applica could detemine whether he had a criminal case. Mr. Greens

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.: regula-h tions and developing the facts.

2.

The January 21, 1980 meeting between NPI and MRC was held after repeated u

requests by NPI to meet with me in order to verbally pmsent NPI's side L.b m-of the civil penalty story. NPI was told before the meeting that the civil per.alty action was on hold at the D0J's request. DIA was notified i;

in advance of the, proposed meeting. An CIA representative attended the....

meeting. No new substantive information was exchanged at the meeting.-

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3.

Mr. Snf azek's " disclosure" to MPI at the January 21 meeting of a 1975 letter from FDA to NPI--portrayed by Mr. Greenspun as having "the potential for materf ally igatring our ability to obtain unta11ored grand jury testimony"--needs to be seen from the perspective that the letter itself is incorporated into NPI's license by explicit reference in license condition 17. That is, the letter is a specific term of MPI's license and its "disclusure" to NPI was not viewed at the time and in my view should not now be viewed as an action which, to use Mr.

Greenspun's words " disclosed goverment theories and evidence".

Original signed by victor Stello

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s Victor ste11o. Jr.

Director Office of Inspection and Enforcement cc:

W. Dircks L. Bickwit H. Shapar R. DeYoung Chairman Ahearne Coonission DISTRIBUTION h~

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