Supplement Firm Hi-Tech Pays For Another Round Of Refunds In FTC’s 15-Year Litigation
FTC is mailing 143,636 refund checks totaling more than $8.5m to consumers who bought three supplements marketed with false and misleading advertising by Hi-Tech Pharmaceuticals and several related companies.
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As Hi-Tech Argues For DMHA Use, DMAA Seizure Falls In FDA's Criminal Case, Contempt Stands In FTC Complaint
Hi-Tech Pharmaceuticals granted motion in federal court to have $19m in seized DMAA products returned, though the order noted sales of the products are prohibited. As Hi-Tech seeks court order that FDA is wrong about DMAA, an appellate court upholds $40m contempt fine against firm in FTC complaint.
Following his recent arrest in a separate federal enforcement, Hi-Tech Pharmaceuticals CEO Jared Wheat and his firm are fined $40m for violating a 2008 court order on an FTC complaint about fraudulent weight loss claims. The financial sanction is justified by a “pattern of contemptuous conduct,” the judge said.
Hi-Tech Pharmaceuticals CEO Jared Wheat and an associate face 18 criminal charges in federal court alleging they falsified FDA documents and distributed as supplements products containing steroid ingredient. Wheat is appealing the indictment to federal circuit court.