Supplement Giant USPlabs Signs Plea Bargain, Closes Its Doors

The maker of one of the bestselling fat burners of all time has officially closed its doors. The owners of the billion-dollar selling supplement reached a plea bargain with federal prosecutors in late February of this year. As part of the agreement, USPlabs agreed to cease all business activities within 90 days of the plea agreement.

USPlabs CEO Jacob Geissler and President Jonathan Doyle both pleaded guilty to one count of conspiracy to introduce misbranded food into interstate commerce with intent to defraud and mislead.

S.K. Laboratories Inc., which manufactured OxyELITE Pro and Jack3d for USPlabs, pleaded guilty to one count of introduction of misbranded food into interstate commerce. Vice president Sitesh Patel of S.K. Laboratories Inc. pleaded guilty to one count of conspiracy to introduce misbranded food into interstate commerce with intent to defraud and mislead, and one count of introduction of misbranded food into interstate commerce.

USPlabs is best known for their fat burner OxyELITE Pro, and their pre-workout Jack3d. Both original formulas contained the ingredient 1,3 DMAA. It has been estimated that USPlabs sold over a billion bottles of 1,3 DMAA products. In 2012, the FDA sent warning letters to several supplement companies selling products with 1,3 DMAA. Instead of ceasing their production of 1,3 DMAA, USPlabs fought the government and ramped up production of both OxyELITE Pro and Jack3d.

Then in 2013, an outbreak of hepatitis in Hawaii was tied to OxyELITE Pro. When Federal investigators with the FDA searched through company servers, they discovered email conversations between Doyle, Geissler, and Patel joking about their attempt to mislabel synthetic 1,3 DMAA as Geranium Oil extract.

All defendants are awaiting sentencing, including the ones that entered plea bargains. It has been recommended by the Government that Doyle serve up to 48 months in prison, and Geissler serve 2-5 years. Both are bared from working in the supplement industry for a minimum of two years. To date, the government has seized over $450 million from the defendants.

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