The State - News from April 21, 1987

Federal agents arrested Walter Richard Atlee, assistant director of the state Department of Alcohol and Drug Programs, on a federal warrant charging him with attempting to extort $50,000 from a Los Angeles physician who was seeking a state license to operate a methadone treatment clinic. FBI spokesman Jim Nielson said Atlee, 52, was taken into custody at the Glendale office of Dr. Donald Dorr by federal agents acting on information from Dorr, who had contacted authorities and arranged for them to be present when Atlee arrived to collect the money. Atlee is in charge of granting final approval for licenses to operate such drug abuse treatment clinics throughout the state. Asst. U.S. Atty. Brian Hennigan said his office has no information about any prior extortion attempts by Atlee. Nielson said Atlee was freed on $50,000 bail after arraignment on federal extortion charges. If convicted, he could face up to 20 years imprisonment and a fine of $250,000.