ASHLAND - A former South Shore physician and two office managers at clinics he owned pleaded not guilty Monday to federal drug charges stemming from a 2 1/2-year investigation.

        David Herbert Proctor, Mary Katherine Dials and Nancy J. Sadler were indicted July 15 on charges of conspiring to distribute, dispense, and possess with intent to distribute and dispense a variety of controlled substances.

        Mr. Proctor also was charged with three counts of dispensing controlled substances to different patients without legitimate medical purposes.

        Judge Henry Wilhoit scheduled a trial for the three for Sept. 9. Each is free on $10,000 unsecured bond.

        Mr. Proctor, Ms. Dials and Ms. Sadler each face up to 20 years in prison if convicted, and up to a $1 million fine.

        Authorities believe the three were providing thousands of prescription drugs to addicts in Northern Kentucky and Southern Ohio, said FIVCO (five counties) Area Drug Enforcement director Bob Jessie, whose organization teamed with the Louisville office of the Drug Enforcement Administration and several other law enforcement agencies for the investigation.

        Mr. Jessie said Mr. Proctor hired the other doctors to work in his office and sell prescriptions to addicts after losing his medical license.

        Mr. Proctor's license was temporarily suspended in 1999 after the board found probable cause to believe he had sex with female patients, wrote prescriptions for patients he hadn't examined and practiced while mentally impaired from a head injury he suffered in an auto accident.

        Mr. Proctor permanently surrendered his license in 2000.

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