Sec. 304 TITLES II AND III OF THE COMPREHENSIVE DRUG ABUSE... 52

Sec. 304 TITLES II AND III OF THE COMPREHENSIVE DRUG ABUSE... 52 

DENIAL, REVOCATION, OR SUSPENSION OF REGISTRATION 

SEC. 304. ø21 U.S.C. 824¿ (a) A registration pursuant to sec- tion 303 to manufacture, distribute, or dispense a controlled sub- stance or a list I chemical may be suspended or revoked by the At- torney General upon a finding that the registrant— 

(1) has materially falsified any application filed pursuant to or required by this title or title III; 

(2) has been convicted of a felony under this title or title III or any other law of the United States, or of any State, relat- ing to any substance defined in this title as a controlled sub- stance or a list I chemical; 

(3) has had his State license or registration suspended, re- voked, or denied by competent State authority and is no longer authorized by State law to engage in the manufacturing, dis- tribution, or dispensing of controlled substances or list I chemi- cals or has had the suspension, revocation, or denial of his reg- istration recommended by competent State authority; 

(4) has committed such acts as would render his registra- tion under section 303 inconsistent with the public interest as determined under such section; or 

(5) has been excluded (or directed to be excluded) from par- ticipation in a program pursuant to section 1128(a) of the So- cial Security Act. 

A registration pursuant to section 303(g)(1) to dispense a narcotic drug for maintenance treatment or detoxification treatment may be suspended or revoked by the Attorney General upon a finding that the registrant has failed to comply with any standard referred to in section 303(g)(1). 

(b) The Attorney General may limit revocation or suspension of a registration to the particular controlled substance or list I chemical with respect to which grounds for revocation or suspen- sion exist. 

(c)(1) Before taking action pursuant to this section, or pursuant to a denial of registration under section 303, the Attorney General shall serve upon the applicant or registrant an order to show cause why registration should not be denied, revoked, or suspended. 

(2) An order to show cause under paragraph (1) shall—
(A) contain a statement of the basis for the denial, rev- ocation, or suspension, including specific citations to any laws or regulations alleged to be violated by the applicant 

or registrant;
(B) direct the applicant or registrant to appear before 

the Attorney General at a time and place stated in the order, but not less than 30 days after the date of receipt of the order; and 

(C) notify the applicant or registrant of the oppor- tunity to submit a corrective action plan on or before the date of appearance. 

(3) Upon review of any corrective action plan submitted by an applicant or registrant pursuant to paragraph (2), the Attorney General shall determine whether denial, revocation, or suspension proceedings should be discontinued, or deferred for the purposes of modification, amendment, or clarification to such plan. 

January 16, 2018 As Amended Through P.L. 115-91, Enacted December 12, 2017 

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53 TITLES II AND III OF THE COMPREHENSIVE DRUG ABUSE... Sec. 304 

(4) Proceedings to deny, revoke, or suspend shall be conducted pursuant to this section in accordance with subchapter II of chap- ter 5 of title 5, United States Code. Such proceedings shall be inde- pendent of, and not in lieu of, criminal prosecutions or other pro- ceedings under this title or any other law of the United States. 

(5) The requirements of this subsection shall not apply to the issuance of an immediate suspension order under subsection (d). 

(d)(1) The Attorney General may, in his discretion, suspend any registration simultaneously with the institution of proceedings under this section, in cases where he finds that there is an immi- nent danger to the public health or safety. A failure to comply with a standard referred to in section 303(g)(1) may be treated under this subsection as grounds for immediate suspension of a registra- tion granted under such section. A suspension under this sub- section shall continue in effect until the conclusion of such pro- ceedings, including judicial review thereof, unless sooner with- drawn by the Attorney General or dissolved by a court of com- petent jurisdiction. 

(2) In this subsection, the phrase ‘‘imminent danger to the pub- lic health or safety’’ means that, due to the failure of the registrant to maintain effective controls against diversion or otherwise comply with the obligations of a registrant under this title or title III, there is a substantial likelihood of an immediate threat that death, serious bodily harm, or abuse of a controlled substance will occur in the absence of an immediate suspension of the registration. 

(e) The suspension or revocation of a registration under this section shall operate to suspend or revoke any quota applicable under section 306. 

(f) In the event the Attorney General suspends or revokes a registration granted under section 303, all controlled substances or list I chemicals owned or possessed by the registrant pursuant to such registration at the time of suspension or the effective date of the revocation order, as the case may be, may, in the discretion of the Attorney General, be placed under seal. No disposition may be made of any controlled substances or list I chemicals under seal until the time for taking an appeal has elapsed or until all appeals have been concluded except that a court, upon application therefor, may at any time order the sale of perishable controlled substances or list I chemicals. Any such order shall require the deposit of the proceeds of the sale with the court. Upon a revocation order becom- ing final, all such controlled substances or list I chemicals (or pro- ceeds of sale deposited in court) shall be forfeited to the United States; and the Attorney General shall dispose of such controlled substances or list I chemicals in accordance with section 511(e). All right, title, and interest in such controlled substances or list I chemicals shall vest in the United States upon a revocation order becoming final. 

(g) The Attorney General may, in his discretion, seize or place under seal any controlled substances or list I chemicals owned or possesed by a registrant whose registration has expired or who has ceased to practice or do business in the manner contemplated by his registration. Such controlled substances or list I chemicals shall be held for the benefit of the registrant, or his successor in interest. The Attorney General shall notify a registrant, or his successor in 

January 16, 2018 As Amended Through P.L. 115-91, Enacted December 12, 2017 

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January 16, 2018