FedEx, the world’s largest cargo airline, asked a federal judge Wednesday to dismiss charges the company conspired to launder money from sale of online prescription drugs because the indictment fails to state violations occurred in California.
The allegations in counts 12 and 17 are “insufficient to satisfy the requirement that an indictment properly plead venue in the district in which the charges are brought,” according to lawyers for FedEx.
FedEx was charged in 2014 with money-laundering and conspiracy to deliver pain pills and other drugs to internet pharmacies, which in turn sold them to customers based on online questionnaires that were not reviewed by doctors.
The indictment alleges the company knew it was delivering drug to dealers and addicts by 2004. Company couriers in Kentucky, Tennessee and Virginia expressed fear for their safety and those concerns were allegedly circulated to FedEx senior managers. Among the warnings was that FedEx trucks were stopped on the road by online pharmacy customers demanding packages of pills with delivery addresses of parking lots, schools or vacant homes.
The company is charged with conspiring with two Internet pharmacy organizations, Chhabra-Smoley organization from 2000 to 2008, and Superior Drugs from 2002 to 2010.
Case: U.S. v. FedEx Corp. No. 14-320