Yorktown Pharmacist Still Has License
After he was arrested at BMH/IU Hospital for Theft of Drugs
by Casey Smith, Indiana Capital Chronicle
January 22, 2026
MUNCIE, Ind. — A former Muncie hospital pharmacist is facing multiple felony charges tied to the alleged theft of massive quantities of powerful opioids, but more than a year after his arrest — and even longer since the diversion was discovered — his Indiana pharmacy license remains active, unrestricted and untouched by state regulators.
Christopher Knoth, of Yorktown, was arrested in July 2024 by the IU Health Ball Memorial Hospital Police Department after a hospital audit triggered an investigation and a search warrant that uncovered what police described as “a large quantity of drugs” at his home.
A U.S. Drug Enforcement Administration report obtained by the Indiana Capital Chronicle identified more than 35,000 vials of hydromorphone and methadone that was stolen.
The drug thefts — amounting to an average of 500 vials a month — are alleged by hospital officials to have taken place over the course of five years.
IU Health representatives said Knoth was “immediately terminated” after the hospital discovered the diversion in July 2024, but the Delaware County Prosecutor’s Office didn’t file formal charges until August 2025.
Despite being what members of the Indiana Board of Pharmacy called “one of the largest diversions” to ever come before the licensing body, the regulatory side of Knoth’s case has stalled, and pharmacy board members have repeatedly emphasized that they cannot act unless — and until — the state attorney general’s office files an administrative complaint.
That complaint, board members were told last week, remains under investigation more than a year-and-a-half after the diversion was discovered.
Knoth currently faces five felony counts, including Level 3 felony possession of a narcotic drug weighing more than 28 grams; Level 5 felony theft of property valued at more than $50,000; and multiple Level 6 felonies tied to fraud, forgery and unlawful possession of syringes, according to court records.
Man, this guy does not need to have a license.
– Indiana Board of Pharmacy member Steven Anderson
All the while, however, Knoth’s Indiana pharmacy license has remained unmarred. State licensing records show no disciplinary action, litigation or restrictions, meaning Knoth has been free to practice elsewhere.
Knoth’s attorneys did not reply before publication to the Capital Chronicle’s questions or requests for comment, and it’s unclear whether Knoth is currently employed as a pharmacist. He has held a license since 2006.
The state pharmacy board’s most recent meetings — in December and again last week — have drawn repeated concerns over the lapse in action and what they called a “free and clear” license.
“We’re 18 months out from the discovery of the diversion of millions of doses of morphine, millions of doses of hydromorphone … and we have a pharmacist that’s still on the street with an active pharmacist license?” asked board member Steven Anderson during the December meeting. “Man, this guy does not need to have a license.”
Board member Kate Snedeker additionally called the “massive diversion” of drugs “one of the biggest I’ve seen.”
Jason Jablonski, another board member, warned that the scale of the alleged theft alone raises “serious” public safety concerns.
“It’s a staggering amount,” he said, pointing for example to 1.5 million milligrams of Dilaudid, a name brand of hydromorphone, a powerful prescription opioid painkiller.
“Let that bounce around in your head a little bit. That’s a lot,” Jablonski said. “This is not a small amount of medication. This is a very significant amount of controlled substances.”
A yearslong diversion of drugs
IU Health officials first flagged concerns about Knoth after discovering irregularities in controlled substance transactions originating from the hospital’s main pharmacy, according to a probable cause affidavit filed by hospital police.
Investigators determined that Knoth was allegedly removing hydromorphone and methadone — both highly regulated opiates — from a controlled substance safe and documenting the drugs as transfers to clinics that either did not exist or did not use those medications.
When police searched Knoth’s home in July 2024, they reported finding empty and full vials equivalent to 94,800 milligrams of hydromorphone and 34,800 milligrams of methadone, along with hospital pharmacy transaction documents, syringes and financial records. Additional packaging for tablets were also found.
Hospital pharmacy leadership confirmed that the packaging and paperwork recovered from the residence matched Ball Memorial Hospital inventory, according to the affidavit.
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IU Health representatives told the Indiana pharmacy board in December that the diversion started during the height of the COVID-19 pandemic, when demand for opioids surged in intensive-care units and routine oversight was strained.
Hospital representatives told state regulators that the unusual demand for narcotics among critically ill patients “masked” the diversion and delayed detection.
“Our use of that medication, of hydromorphone, was extremely high — much higher than normal — because almost every person that was in our ICUs was on a high amount of that,” said Kimberly Kuznik, a director of pharmacy services for IU Health.
“I think it’s like a Swiss cheese-type thing,” she added. “Our usage was high because our usage was supposed to be high, and that’s when (the drug theft) started, and then it continued.”
The scale of the diversion, once uncovered, triggered a federally required drug theft report to the DEA. A copy of the report does not name Knoth, but details match the location, timeframe, reporting officer and quantities of stolen drugs described in the criminal case.
IU Health Ball Memorial Hospital officials declined to answer questions from the Capital Chronicle, saying only that the hospital “cannot comment on pending investigations,” but is “cooperating fully in a thorough investigation of the situation.”
The DEA report said since the discovery, several precautions have been put into place. The hospital is now running sale, compounding and prescription reports every day. The pharmacist in charge is also running comparison reports at the end of each shift and all reports now must have two signatures every day.
A Delaware County court hearing in the criminal case was originally scheduled for Wednesday but was pushed back until March 11.
‘Free and clear’ pharmacy license
Despite the allegations laid out in Knoth’s criminal case, the Indiana Board of Pharmacy has not taken disciplinary action. Board members expressed frustration but said they can’t move forward with discipline or licensure penalties because the Indiana Attorney General’s Office has not yet filed a formal administrative complaint.
Indiana law places the initial responsibility for professional discipline investigations with the attorney general, not the licensing board itself.
Consumers or employers can file complaints with the attorney general’s office, which reviews the allegations and determines whether to pursue discipline before a licensing board. The attorney general is charged with investigating the case first, however, before the board decides any discipline or licensing action.
Still, in serious cases, the attorney general can bypass the usual months-long investigatory process by seeking a summary suspension — an emergency action that immediately restricts a license if the professional poses a “clear and immediate danger to the public health and safety.”
This is not a small amount of medication. This is a very significant amount of controlled substances.
– Indiana Board of Pharmacy member Jason Jablonski
Such emergency suspensions are commonly used in drug diversion cases, according to members of the state pharmacy board.
But last week, Autumn Murphy, a deputy attorney general overseeing Knoth’s consumer complaint, told the board that the office’s investigation is ongoing.
Murphy repeatedly emphasized that the attorney general’s office is bound by confidentiality rules.
She told the board that two separate consumer complaints are pending: one against the hospital and another against Knoth.
When asked again this week by the Capital Chronicle about the status of the investigation and whether the office had concerns about Knoth continuing to hold a license, spokesperson Slayde Settle said only that the attorney general’s office “cannot comment on active litigation.”
Knoth’s pharmacy license is currently set to automatically renew in June, unless action is taken before then.
“We have issued summary suspensions on far less in front of us,” pharmacy board member Anderson said. “I would raise this to the level of when we are presented with a federal indictment. … We have an alleged diversion of this astronomical amount of drugs that supposedly walked out of a pharmacy unaccounted for.”
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Jablonski cited a separate but recent case that came before the board “that was very similar — and we got an emergency suspension really quickly.”
“Whether they diverted for personal use or diverted for sale, it’s still a huge risk to have somebody out there with an active license who was terminated for that particular action,” he said.
The licensing board is scheduled to hold a hearing in April to consider the hospital’s pharmacy license, which was already up for renewal.
“But we’re not so concerned about the hospital,” Jablonski said. “We understand that they’ve had a big wake up call, and they’re making some changes. They know they need to — and they’re probably not done with the DEA on this, either.”
“Apparently, there’s nothing we can do about the pharmacist, though,” he said. “It’s just what it is. … We’re handcuffed.”
Although Indiana law allows licensing agencies to delay renewals for up to 120 days if concerns arise during the renewal process, it does not permit boards to independently suspend a license without action from the attorney general.
“The risk of having a pharmacist that allegedly stole millions of milligram doses of narcotics and Schedule II drugs — I would think the risk of having him licensed for a year-and-a-half now after that is higher than any benefit of him carrying a license,” Anderson said. “It’s just hard to fathom that we haven’t at least seen the pharmacist before the board.”
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Indiana Capital Chronicle is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Indiana Capital Chronicle maintains editorial independence. Contact Editor Niki Kelly for questions: info@indianacapitalchronicle.com.