FTC - Dietary Supplement Marketers Fined $70 Million

[bobsilber]

The court barred them from making deceptive claims about Coral Calcium; misrepresenting that scientific research validated their claims; and making any health, performance, or efficacy claims about any food, drug, dietary supplement, cosmetic or device unless they are true, non-misleading, and substantiated by competent and reliable scientific evidence, the Commission continued.

There were also allegedly deceptive claims that the product could cause dramatic weight loss and could safely be taken by children, pregnant women, and people on medication, according to the FTC.

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Alleged Supplement DMers Fined Nearly $70 Million

[John M Kane]

I don't know about their claims but, I have used Supreme Greens and found it gave me a lot of energy and endurance. Tasted great too.
Seems a similar story is in the news every other month or so.
Why can't these companies quit the illegal hype and just market without the b.s.?

[Bill Jeffels]

Bob,

Great post.

Really this is all about numbers. If he was fined 70 million... how much has he made?... lots and lots more.

There is a guy... Frank Sarcona ( Slim America Inc. ) he's been doing diet scams for 20 years. He makes $30 million FTC fines $5million... he makes $25 million he's fined 7 million.

He just go nailed again and before all his assets were frozen he just dropped $25 mill in a off shore bank account. Kevin Trudeau makes $30 million pays a fine and buys another Mercedes S55 AMG along with a new 20,000 square foot Mansion.

Can you see why they continue to do this?

Take care,

Bill Jeffels

[ExRat]

Hi Bob,

Interesting name they gave one of their companies -

Triad ML Marketing

Also -

In addition, Barrett allegedly marketed, Coral Calcium, which the court found he and the other defendants deceptively claimed could treat cancer, Parkinson’s disease, heart disease, and autoimmune diseases;

Desperate buyers only, eh?

[Alexa Smith]

Originally Posted by John M Kane

Why can't these companies quit the illegal hype and just market without the b.s.?

Yup, that's the key question.

Sometimes, I think, the answer is that they're selling their products at ten times the prices of other widely available items with the same or very similar ingredients, and they can do that only by finding "desperate buyers" and making illegal health claims.

Anyway if this story helps to put people off "coral calcium" (the very worst form of calcium supplement to take) it's not such a bad thing.

[Julian Lockhart]

My old business partner got smacked with a VERY large FTC ruling.

He really feels like he has great nutritional products and they do great things for people. It occurs to him like "they" were "out to get him". And that it was personal.

I am sure that's how these guys feel too.

Originally Posted by John M Kane
Why can't these companies quit the illegal hype and just market without the b.s.?

My take on this is after a while they start to believe their own claims because they have a few people(or thousands - depending how much they sell) telling them how great the product makes them feel.

These successes start to outweigh any other consideration. They forget the complaints, the fact that the product is 3x the price of any other comparable product, or that the auto ship is catching many by surprise.

Let's not forget the allure of mega$$$.

[keyaziz]

Originally Posted by Julian Lockhart

My take on this is after a while they start to believe their own claims because they have a few people(or thousands - depending how much they sell) telling them how great the product makes them feel.

.

I saw a program about dietary supplements/pills once. This Dr lady looked at the research that the products claimed to be backed up by and the linked to the research was so tenuous it was just ridiculous. Also she wasn't able to get hold of some of the research because when she called the companies they just hung up or didn't have an answer - they also didn't have an answer when she questioned the companies who did have research to its flimsiness.

[greenovni]

The funny thing is that they get fined $70 million and FDA approved drugs like Alli diet pills (by prescription only) can continue to kill your liver.

http://www.aboutlawsuits.com/xenical...d-by-fda-4106/

Anyone else sees the double standard?

Sometimes the FTC seems to me like the "shakedown" arm of the federal government.

[Steve Diamond]

Originally Posted by greenovni

Sometimes the FTC seems to me like the "shakedown" arm of the federal government.

Got it in one, IMO. In some cases the FTC may be performing a real consumer service. But they are completely unrestrained when they go after the smaller fish, who can't afford to defend themselves in court and end up accepting lopsided settlements because they have no viable alternatives.

Steve

[Kevin AKA Hubcap]

I they're making false and deceptive claims they should have to pay that piper.

That Being Said

The FDA "knowingly" allows drug companies to routinely pedal drugs that have not been thoroughly tested and are being advertised/marketed/used for off label purposes.

IMO the relationship that the FDA has with big pharma is a bit too cozy.

Kevin

[Alexa Smith]

Originally Posted by greenovni

FDA approved drugs like Alli diet pills (by prescription only) can continue to kill your liver.

Is Alli really on prescription only over there?

Originally Posted by greenovni

Anyone else sees the double standard?

Definitely. But the FDA's different from the FTC, clearly, and it does seem the FTC did the right thing here?