Miami Herald - June 12, 2004
Sara Olkon, solkon@herald.com

Inside a crowded Broward County courtroom Friday afternoon, two very different portraits emerged of Coral Gables urologist Paul Perito, a man accused of selling diluted cancer and AIDS medications -- sometimes from his strip club.

To hear prosecutor Teresa Williams tell it, Perito is a depraved and promiscuous drug addict with a hidden stash of at least $900,000 in offshore accounts. She argued against a defense motion to cut in half Perito's current $2 million bond.

Perito, who remains in jail, and his business partner, Nicholas Just, were arrested late last month, charged with racketeering, conspiracy to commit racketeering, organized scheme to defraud, product tampering, vending of counterfeit drugs and the purchase of prescription drugs from an unlicensed person.

The far-reaching case includes the arrests of at least two dozen others from Broward and Miami-Dade counties.

Defense attorney Jane Moscowitz presented a much more flattering version of the 42-year-old divorced father, recounting the doctor's charitable acts, including, she said, tireless fundraising for HIV and AIDS-infected orphans in Kenya. She said the urologist wasn't a flight risk, given his deep ties to the community and family.

The highly charged proceedings were marked by snickers and derision by several of Perito's supporters when Williams spoke. More than 50 of them filled the room to standing-room-only capacity.

"He is held in great respect by other doctors because of his skill and ethics," said Moscowitz, who highlighted excerpts from letters of support from friends, co-workers and relatives of the doctor. "He routinely treats patients for free. He treats poor people in the Bahamas."

The state alleges Perito dealt illicit prescription drugs from Playpen South, 23101 S. Dixie Hwy., north of Homestead, which the urologist owns with Just.

The state is alleging that Perito also used illegal drugs at the club.

According to witnesses, large amounts of drugs labeled Procrit, given to cancer patients receiving chemotherapy to boost red blood cells, and Epogen, a blood-boosting drug for AIDS patients and people with kidney failure, were loaded into a large cooler at Playpen South, and later exchanged for thousands of dollars in cash.

Williams said many of the drugs were later found diluted.

The charges are part of a larger state investigation into drug diversion -- the practice of moving prescription drugs without proper documentation through a gray or black market at discounted prices.

Moscowitz said Perito would contest "each and every fact in the probable cause affidavit."

She also characterized the state's witnesses as "confidential informants with long rap sheets."

Broward Circuit Judge Eileen O'Conner said she would rule Monday morning on the motion for a bond reduction.

Herald staff writer John Dorschner contributed to this report.

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