Knoxville woman, 2 others facing overdose death enhancement in pill mill operation

KNOXVILLE (WATE) – A Knoxville woman and two others were indicted on an additional overdose death enhancement by a Knoxville Federal Grand Jury.

Sylvia Hofstetter, 51, is charged with conspiring with other pain clinic operators or sponsors of pill shopping organizations to distribute oxycodone and to launder the proceeds generated by those clinics. Alan Pecorella, Theodore McCrary, Courtney Newman, Cynthia Clemons and Richard Larson were also indicted by a federal grand jury.

Sylvia Hoffstetter (source: Blount County Sheriff’s Office)
Sylvia Hoffstetter (source: Blount County Sheriff’s Office)

Hofstetter is accused of being responsible for distributing enough oxycodone to generate revenue of at least $17.5 million between April 2011 and March 2015. According to the indictments, Clemons, Hofsetter and an unidentified person are facing enhanced penalty after the death of a person identified as “S.B.” Prosecutors say S.B. died from an oxycodone overdose in February 2014 that was illegally dispensed by Clemons, Hofstetter and the unidentified defendant.

If they are convicted, the defendants must forfeit $17,458,401, the money they received for controlled substances. They also must turn over the contents of 13 different bank accounts, 2 of Hofstetter’s cars and 105 pieces of jewelry. In addition, Hofstetter’s home at 1842 Falcon Point Drive and two properties belonging to one of Hofstetter’s company’s, Urgent Care and Surgery Center Management, LLC will be seized.

US attorneys are calling Hofstetter the largest drug dealer ever to be in an East Tennessee court room. Prosecutors say over four year 12 million prescription pills were prescribed mostly oxycodone and oxy-morphine by Hofstetter.

More: Read the full indictment


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