116 3rd St SE
Cedar Rapids, Iowa 52401
CEDAR RAPIDS — A Pottawattamie County man was sentenced Friday to 15 months in federal prison for illegally selling thousands of doses of testosterone performance enhancing drugs and misbranded prescription drugs for racing dogs.
Jon Stidham, 57, of McClelland, pleaded in January to one count of conspiracy to deliver, distribute or dispense methyltestosterone — a controlled substance used to treat a lack of testosterone in greyhounds — over the internet without a valid prescription and without complying with federal and Iowa licensing requirements.
He also was convicted of one count of conspiracy to introduce misbranded drugs into interstate commerce with intent to defraud or mislead and to commit mail fraud.
Stidham, who was on the Iowa Greyhound Association board of directors in May 2021, had his licenses suspended either after the investigation started or when he was charged, according to an Iowa Racing and Gaming Commission ruling in December. He is no longer listed as a board member on the association’s website.
According to a plea agreement, Stidham admitted he operated Kennel Supply, which supplied items used for by kennels and in the care of farm animals. Kennel Supply sold controlled substances and non-controlled prescription drugs over the internet.
From 2015 through Oct. 12, 2018, Stidham distributed and sold more than 300,000 doses of methyltestosterone without valid prescriptions, making more than $324,000 from the sales.
During that same period, Stidham illegally distributed more than 50 types of prescription drugs without a valid prescription or authorization and made more than $200,000 from those sales.
Carey Theil, executive director of a greyhound protection nonprofit, Grey2K USA Worldwide in Arlington, Mass., told The Gazette in January he was familiar with Stidham and that his nonprofit was concerned about the drugs Stidham was selling to kennels.
Theil shared an email that he sent to the Iowa Racing and Gaming Commission in 2016 about Stidham’s selling potential harmful drugs for animals.
According to the plea, Stidham developed a relationship with a veterinarian from Kansas who was licensed only in Kansas. Stidham obtained copies of the vet’s Drug Enforcement Administration registration and license without authorization to establish accounts where companies would ship prescription medications in bulk.
In June 2018, a number of greyhounds had positive drug tests at Dubuque Greyhound Racing Park, which was reported to the Iowa Division of Criminal Investigation, according to the plea. The officials produced bottles of methyltestosterone obtained from Stidham as the only medication given to the animals.
Earlier this year, the Dubuque park discontinued greyhound racing.
U.S. District Judge C.J. Williams fined Stidham $7,500 and ordered him to forfeit $527,510 of the drug proceeds. Stidham also must serve three years of supervised release following his prison term.
“The laws regarding the labeling and dispensing of controlled substances and prescription drugs exist to protect the health and safety of our community,” Acting U.S. Attorney Timothy Duax said in a statement. “When individuals like Mr. Stidham try to profit by ignoring or violating controlled substance and prescription laws, they will be vigorously prosecuted and the proceeds of their illegal activities will be seized.”
The case was prosecuted by Assistant U.S. Attorney Patrick Reinert and was investigated by the DEA, U.S. Food & Drug Administration Office of Criminal Investigation and the Iowa Division of Criminal Investigation.
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