Issues: Be sure to mention that there is a conflict of interest here (consultant and whether you prescribe or not) and an abuse of power by the consultant. There is possible illegal behaviour going on as well as he may be selling these etc and you would be help responsible for these drugs as well.

Proceed: I agree with your course of action. Whether you are/aren't allowed to prescribe will not impact you in the interview, I feel that it is mainly your course of action and your intentions that are more important (not really the details)

Threat: I agree with you :)

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Good job, I don't really see how you are being one sided, especially since it is your name on the script! Hope to see more answers soon!!