FTC Sues Berkeley Nutraceuticals

FTC Sues Berkeley Nutraceuticals

CINCINNATIThe Federal Trade Commission (FTC) filed a suit infederal court the beginning of February against Berkeley Premium Nutraceuticals(www.berkeleypremiumpharmaceuticals.com), accusing the mail order company offalse advertising and illegal billing for its dietary supplements. Named asadditional defendants in the suit are owner Steve Washak and related companies; Washaks wife, mother and attorney are all named as relief defendants,because they received money obtained illegally by the principal defendants.

The FTC complaint specifically noted claims used in marketing BerkeleysAvlimil and Rogisen products. The agency reported Avlimil, which contains sageleaf, ginger root and cayenne pepper, was marketed to improve womens sexualdesire: arousal, lubrication, ability to climax, strength of climax andoverall sexual experience. Similarly, FTC (www.ftc.gov) alleges claims that Rogisens mixture of vitamins, minerals and herbs could improve night visionwere unsubstantiated. FTC seeks to prohibit the defendants from furtherviolation of the FTC Act.

In its suit, which came five days after four Berkeley officers agreed toplead guilty to conspiracy to commit criminal fraud, FTC asked Senior U.S.District Judge Herman Weber to also oblige the defendants to pay redress forcustomer credit cards billed without permission. The Cincinnati Better BusinessBureau and the Ohio Attorney Generals Office logged thousands of consumercomplaints that they were billed by Berkeley for a second cycle of products,despite their intentions not to buy them following a free 30-day trial. FTCnoted such unauthorized billing represents violations of the Electronic FundTransfer Act and the Unordered Merchandise Statue, in addition to failure todisclose material terms of the companys autorenewal plan.

This is a positive development, and we are gratified that the FTC isjoining the fight, said John Murdock, a Cincinnati lawyer representingconsumers in class-action suits against Berkeley. We hope that this development, along with the plea deals filed last week,brings us that much closer to the day when we obtain the best possible legalredress for consumers.