doreen T
Tue, Oct-26-04, 13:17
Diet-Pill Seller in $155 Million Settlement - FTC
Fri Oct 22, 2:02 PM ET
WASHINGTON (Reuters) - A Texas diet-pill marketer has agreed to pay back up to $155 million he earned from selling weight-loss pills that did not work as advertised, the U.S. Federal Trade Commission said on Friday.
Harry Siskind of San Antonio had already shut down his business and agreed to pay back $500,000 to settle deceptive-business charges with the FTC last year.
But Siskind did not truthfully disclose all of his assets during the settlement process and now is liable for all of the money he earned selling Body Solutions Evening Weight Loss Formula over the radio, FTC senior attorney Tom Carter said.
Siskind hid the fact that he had lent money to two San Antonio computer-security firms and delayed collecting on them until he had reached a settlement with the FTC, Carter said.
Siskind does not have $155 million on hand but could have to forfeit cars, property and loans, and could have his wages garnished in the future, Carter said.
"It's an unrestricted judgment, and we intend to use every means possible to collect it," he said.
"There were some mistakes made on the financial statements presented to the Federal Trade Commission," said Bradley Wilder, a San Antonio attorney who represents Siskind. "He's looking forward to moving on with his life and putting this behind him."
The FTC sued Siskind, his business partner Edward D'Alessandro and their company Mark Nutritionals Inc. in December 2002, charging that they used deceptive radio ads in 110 cities nationwide to market their Evening Formula pills.
The company falsely claimed that consumers could lose up to 40 pounds with Evening Formula even if they continued to eat high-calorie foods and did not exercise, the FTC said.
http://story.news.yahoo.com/news?tmpl=story&cid=594&ncid=594&e=13&u=/nm/20041022/hl_nm/health_settlement_dc
Fri Oct 22, 2:02 PM ET
WASHINGTON (Reuters) - A Texas diet-pill marketer has agreed to pay back up to $155 million he earned from selling weight-loss pills that did not work as advertised, the U.S. Federal Trade Commission said on Friday.
Harry Siskind of San Antonio had already shut down his business and agreed to pay back $500,000 to settle deceptive-business charges with the FTC last year.
But Siskind did not truthfully disclose all of his assets during the settlement process and now is liable for all of the money he earned selling Body Solutions Evening Weight Loss Formula over the radio, FTC senior attorney Tom Carter said.
Siskind hid the fact that he had lent money to two San Antonio computer-security firms and delayed collecting on them until he had reached a settlement with the FTC, Carter said.
Siskind does not have $155 million on hand but could have to forfeit cars, property and loans, and could have his wages garnished in the future, Carter said.
"It's an unrestricted judgment, and we intend to use every means possible to collect it," he said.
"There were some mistakes made on the financial statements presented to the Federal Trade Commission," said Bradley Wilder, a San Antonio attorney who represents Siskind. "He's looking forward to moving on with his life and putting this behind him."
The FTC sued Siskind, his business partner Edward D'Alessandro and their company Mark Nutritionals Inc. in December 2002, charging that they used deceptive radio ads in 110 cities nationwide to market their Evening Formula pills.
The company falsely claimed that consumers could lose up to 40 pounds with Evening Formula even if they continued to eat high-calorie foods and did not exercise, the FTC said.
http://story.news.yahoo.com/news?tmpl=story&cid=594&ncid=594&e=13&u=/nm/20041022/hl_nm/health_settlement_dc