November 3, 2009
SALT LAKE CITYThe U.S. Justice Department, at the request of FTC, filed suit in U.S. District Court, District of Utah, Central Division, charging the marketers of Relacore and Akavar 20/50 with making unsubstantiated advertising claims for the weight loss products in violation of a 2006 FTC order. Named in the complaint are Basic Research LLC, Carter-Reed LLC, Dynakor Pharmacal LLC, Dennis W. Gay and Mitchell Friedlander; the suit seeks to stop the defendants from making unsubstantiated claims and pay civil penalties.
According to the complaint, the defendants advertised Relacore with unsubstantiated claims about its ability to reduce stress-induced abdominal fat, and Akavar 20/50 with unsubstantiated claims that it could restrict caloric intake with no willpower and produce substantial weight loss for virtually all users.
The government alleges that these defendants made claims that their product would allow you to eat all you want and still lose weight without a reasonable basis, said Tony West, assistant attorney general for the Department of Justices Civil Division. Claims like these are harmful to both the health and pocketbooks of those who use these supplements. Working with our partners at FTC, we will continue to challenge unlawful advertising claims.
Of particular note to FTC is the alleged violation of a 2006 settlement with Basic Research, in which the company paid $3 million to settle charges related to weight loss advertising claims in violation of federal laws; the order prohibited the defendants from making unsubstantiated health or weight loss claims in the future. Violations of FTC orders carry a civil penalty of up to $16,000 per violation. [FTC] ordered the defendants to stop making baseless and bogus advertising claims, said David Vladeck, director of FTCs Bureau of Consumer Protection. We wouldnt put our orders in writing if we werent going to enforce them.
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