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Big Law

Diet Pill Maker Fights $40M FTC Penalty at 11th Circuit

Continuing a 15-year legal battle with the Federal Trade Commission, attorneys for a Georgia-based dietary supplement manufacturer asked the 11th Circuit on Friday to overturn a ruling imposing $40 million in sanctions for violating court orders related to false advertising.

A federal judge issued an order in October 2017 finding Hi-Tech Pharmaceuticals, CEO Jared Wheat, and Senior Vice President Stephen Smith in contempt for violating an injunction related to the company’s sale of weight-loss dietary supplements.

The order imposed a $40 million judgment against the manufacturer and against Wheat personally for selling $40.1 million in products in violation of the terms of a 2008 injunction.

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