SmartScripts counterfeit Ozempic

SmartScripts Escapes Shutdown but Faces Probation and Fine Over Fake Ozempic

The UBJ Desk

The UBJ Desk

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SmartScripts Escapes Shutdown but Faces Probation and Fine Over Fake Ozempic

SmartScripts, an Iowa-based telepharmacy operating out of Washington, ordered what it believed was a case of the popular diabetes and weight-loss medication Ozempic in November 2023. Instead of one case, the company received fifteen—and shipped them to a Michigan buyer, Central Pharmacy Management (CPM), on December 7. Mindful of a troubling discrepancy, SmartScripts’s owner, Todd Thompson, quarantined the remaining pens and requested that recipient pharmacies halt sales. But notification to the Iowa Board of Pharmacy didn’t occur until July 2024—months after the initial discovery. This sequence of events led the board to levy serious charges, including misleading practices, negligence, and unauthorized possession of medication.

Probation Instead of Revocation

While SmartScripts avoids losing its license, the Board of Pharmacy has imposed a five-year probation and a $25,000 civil penalty. Despite being sanctioned, the choice to keep the pharmacy on the roster reflects a level of trust in the company’s assurances—notably its historical ties to agribusiness figure Bruce Rastetter and its pioneering role in Iowa’s telepharmacy scene.

Thompson contests the board’s timeline, insisting he first learned of the counterfeit nature of the shipment only after being contacted by the FDA—after the shipment had already been sent to CPM. He says he promptly informed CPM, cooperated with federal authorities, and confirmed none of the counterfeit drugs reached patients. Meanwhile, CPM counters with its own version: they say they weren’t notified until late December, after an FDA agent informed them the product was fake. CPM has since sued SmartScripts, alleging awareness of the counterfeit nature or at least negligence, with claims totaling around $132,000. A trial is scheduled for September 16, 2025.

This issue isn’t SmartScripts’s first legal entanglement. The company has previously faced lawsuits over improper handling of insurance payments for COVID-19 test kits, Telemarketing violations, and other claims of misappropriation and unpaid bills. In particular, a 2024 judgment forced SmartScripts to pay over $3 million to Maryland-based Tiero. Other suits from Missouri, Ohio pharmacies, and major supplier McKesson were either defaulted or settled—with the McKesson case concluding in June 2025.

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