Kim

I. BACKGROUND

Kim owned and operated the San Jacinto Pharmacy. After receiving information about the law regarding the sale of pseudoephedrine from an industry newsletter, Kim instructed his clerk, Virginia Garcia, not to sell more than 150 sixty- milligram pills per person, per day. Kim believed that sales under this quantity were legal. 3926 UNITED STATES v. KIM Kim purchased drugs containing pseudoephedrine from Bergen Brunswig. In May 2000, the Drug Enforcement Administration (DEA) received a report from Bergen Brun- swig that Kim’s purchases of drugs containing pseudoephe- drine had sharply increased.

The DEA began an investigation of Kim, sending under- cover agents to purchase cold remedies containing pseu- doephedrine from his pharmacy. Two transactions are relevant to this appeal:2 On January 4, 2001, three undercover agents entered Kim’s pharmacy. Kim was standing in an ele- vated section at the rear of the pharmacy, filling prescriptions. Kim nodded and smiled at the three agents. The agents attempted to purchase all the packages of cold medication on display. After Garcia started to tell the agents that one person could not buy all the…