Hi-Tech Pharmaceuticals $40 Million Dollar Judgement

As many know Hi-Tech Pharmaceuticals and its CEO Jared Wheat are not afraid to push the limits and test the ability of the government agencies involved in dietary supplements.  The company has since been in and out of legal battles its entire existence it would seem.  Almost as if the actors inside of the organization are doing everything they can to bend or make the law as malleable as possible, moving them to fit as they please and not as they are written.

 

Hi-Tech Pharmaceuticals and two if its principle executives were found to have violated the marketing injunctions and thus have been properly assessed the $40 million dollars in sanctions in the Eleventh Circuit as of September 18, 2019.  This was a win for the Federal Trade Commission as the lower courts found that the Company Hi-Tech Pharmaceuticals advertised four products as helping users lose weight and fat without what was called “competent and reliable scientific evidence”.  What was lacking in this was a randomized clinical trial on the products to support said claims.

 

This has been a 15-year legal battle with the Federal Trade Commission with what appears to be a grand finally ahead, a $40,000,000 judged against the company.  From January 2009 to roughly January 2014 was the time frame where the injunction was violated.  The products according to the ruling had unsubstantiated claims and failed to include warning labels on packaging which were marketed nationally.

 

This entire case stims from a FTC complaint that was filed alleging that Hi-Tech Pharmaceuticals engaged in deceptive marketing practices in the sale of dietary supplements.  This complaint lead to where we are today as it appears the company is still facing the same types of legal battles with no clear stopping of operations.  It will be interesting to see how this story ends in the near future.

 

 

 

 

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