Supplement Maker Fined $70 M
In a case brought by the Federal Trade Commission, a marketing group that used infomercials to tout calcium and herbal supplements as effective treatments for cancer, Parkinson's disease, heart disease, and autoimmune conditions has been ordered to pay about $70 million in consumer refunds. Last year, the U.S. District Court for the District of Massachusetts ruled that the companies and individuals involved in marketing the supplements had falsely represented their safety and efficacy. Judge George O'Toole considered potential financial penalties separately, and has now ordered the restitution in order to strip from the defendants all profits derived from the supplement sales. He also issued injunctions to prevent the defendants from making similar claims about other products.