Frost Brown Todd LLC

02/05/2026 | Press release | Distributed by Public on 02/05/2026 12:48

FBT Gibbons Secures Judgment of Acquittal for Former Pharmacy Executive in Conspiracy Case

  • FBT Gibbons Secures Judgment of Acquittal for Former Pharmacy Executive in Conspiracy Case

    Feb 05, 2026

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After a seven-week jury trial in Camden, New Jersey, FBT Gibbons obtained a defense victory for Christopher Kyle Johnston, the former general counsel of Louisiana compounding pharmacy Central Rexall Drugs, when the U.S. District Court for the District of New Jersey granted post-trial motions for a judgment of acquittal and a new trial.

Johnston faced a 24-count indictment alleging health care and wire fraud conspiracy, identity theft conspiracy, money laundering conspiracy, and money laundering. Prosecutors said Johnston, who ran Central Rexall in Hammond, Louisiana, participated in a scheme to submit fraudulent insurance claims for medically unnecessary prescriptions, largely focused on compound drug sales in New Jersey.

Prior to trial, FBT Gibbons attorneys moved to dismiss 20 money laundering counts on venue grounds; the motion was granted. After the trial, the firm argued that the government had not proven Johnston's knowledge of or participation in any alleged conspiracy. The court agreed, finding that prosecutors failed, as a matter of law, to show Johnston's involvement and that, in any event, errors at trial warranted a new trial.

The court also found that prosecutors failed to prove venue for one charge, a conspiracy to engage in money laundering, determining that incidental electrical wires passing through Federal Reserve servers in New Jersey were insufficient to establish venue.

The FBT Gibbons defense team was led by White-Collar & Investigations Group member Larry Lustberg and included Anne Collart, Andrew Marino, Marwan Rashed, Elena Cicognani, and Daniel Garcia.

FBT Gibbons' White Collar & Investigations Group (WC&I) draws on extensive prosecutorial and defense experience to represent companies and individuals-including multinational and domestic corporations, business executives, medical, legal, and accounting professionals, and foreign governments-in a broad spectrum of criminal, quasi-criminal, administrative, and regulatory matters at every level of the federal and state judicial systems, as well as internationally. The group protects corporate and individual interests from the earliest stages of an investigation through trial.

About FBT Gibbons

FBT Gibbons LLP is a national law firm focused on serving companies operating and investing in the middle market. With nearly 800 lawyers across 25 offices, the firm is positioned to support clients ranging from large multinationals to mid-sized businesses and growth-oriented startups across the United States. FBT Gibbons provides legal counsel enriched with valuable business and market context, particularly in corporate, litigation, and regulatory matters within the energy, finance, life sciences, and manufacturing sectors. The firm is committed to delivering excellent service to its clients, colleagues, and the communities in which it operates.

Frost Brown Todd LLC published this content on February 05, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on February 05, 2026 at 18:48 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]