As we reported here the star's canary son, Cameron, was sentenced to five years for dealing meth out of a high end Manhattan hotel.
But in a desperate bid to have his sentence reduced, he agreed to give evidence against David Escalera, who is charged with conspiracy for his role in a drug smuggling ring.
His lawyer last month called Douglas a "manipulator" and a "liar" in court last month, adding that he would say anything to get out of jail time.
And it seems that the feds agree. Prosecutor Justin Anderson told the judge at a hearing this month: “Cameron Douglas was a problematic witness, as the court noted when he was here before, and we’ve now taken him out of the case.”
It remains to be seen whether he'll be reinstated.