The crystal structures of an acetyl esterase, HerE, and its complex with an inhibitor dimethylarsinic acid have been determined at 1.30-and 1.45-Å resolution, respectively. Although the natural substrate for the enzyme is unknown, HerE hydrolyzes the acetyl groups from heroin to yield morphine and from phenyl acetate to yield phenol. Recently, the activity of the enzyme toward heroin has been exploited to develop a heroin biosensor, which affords higher sensitivity than other currently available detection methods. The crystal structure reveals a single domain with the canonical ␣/ hydrolase fold with an acyl binding pocket that snugly accommodates the acetyl substituent of the substrate and three backbone amides that form a tripartite oxyanion hole. In addition, a covalent adduct was observed between the active site serine and dimethylarsinic acid, which inhibits the enzyme. This crystal structure provides the first example of an As-containing compound in a serine esterase active site and the first example of covalent modification of serine by arsenic. Thus, the HerE complex reveals the structural basis for the broad scope inhibition of serine hydrolases by As(V)-containing organic compounds.Heroin (3,6-diacetylmorphine) is a highly addictive, synthetic derivative of the alkaloid morphine (Fig. 1A). The instability of the 3-acetyl suggests that it can undergo rapid spontaneous hydrolysis to give 6-acetylmorphine. HerE is known to hydrolyze the 6-acetyl of 6-acetylmorphine to yield morphine (k cat ϭ 12.6 Ϯ 0.6 s Ϫ1 , K m ϭ 0.5 Ϯ 0.06 mM) and was originally identified from the Rhodococcus sp. strain H1 by selective growth using heroin as the sole carbon source (1). Identification of this esterase has facilitated development of a coupled enzyme biosensor for heroin detection (Fig. 1A) with higher sensitivity than other currently available technology (2). In brief, hydrolysis of heroin by HerE generates morphine, which is the substrate for NADPH-dependent morphine dehydrogenase. The activity of morphine dehydrogenase is directly monitored by bacterial luciferase, which outputs a bioluminescent signal at 490 nm (Fig. 1A) (2). The higher activity (k cat K m Ϫ1 ) of HerE toward smaller substrates such as phenyl acetate (Fig. 1B) (k cat ϭ 3.0 Ϯ 0.05 s Ϫ1 , K m ϭ 70 Ϯ 8 nM at pH ϭ 6.4) provides a benchmark for engineering the esterase binding pocket to accept bulkier substrates more efficiently. Hence, the crystal structure of this acetyl esterase should provide substantial insights for structure-based design of second generation heroin biosensors with improved sensitivity.In addition, our structure with the inhibitor dimethylarsinic acid (Fig. 1B) demonstrates for the first time the covalent modification of serine by arsenic. Arsenic lies directly below phosphorous in the periodic table and shares some similar properties, but in general, arsenic is more reactive. As(V)-containing organic compounds comprise a known class of broad scope serine esterase/protease inhibitors (3, 4). Usually, arsonic R-As(V)O 3 H 2 and arsin...