Local News

UNC Pharmacy Director Demoted After Audit

Posted June 29, 2007 1:19 p.m. EDT

— The pharmacy director at UNC Hospitals was removed from his position Friday, one day after a state audit revealed he had double-billed the hospital system and the University of North Carolina at Chapel Hill for travel expenses.

James C. McAllister III is still employed by UNC Hospitals, but he is no longer the pharmacy director, a spokeswoman said Friday.

The audit showed McAllister submitted expenses for reimbursement to both the university and the hospital for an airline ticket to Miami and for meals in Cincinnati on two business trips. He also was reimbursed for a trip his son took to Las Vegas, according to the audit.

The hospital and university also paid more than $3,400 for two cell phone lines, including one used by McAllister's son, the audit found.

Internal controls will be upgraded at both the hospital and the university, officials said.