FTC orders Seasilver makers to pay $120mn

by louabbott on July 25, 2006

July 25, 2006

The FTC has ordered the makers of ‘cure all’ Seasilver to pay almost $120mn for failing to comply with an earlier order to reimburse consumers – thereby signaling to infringing companies that it stands by its rulings.

In 2004, Seasilver USA and Americaloe agreed to pay $3mn in consumer redress, following Federal Trade Commission allegations that claims they made were false and unsubstantiated. At the time, the $120mn sum was set out in a suspended judgment, which would come into effect if the defendants did not make the agreed payments.

While Seasilver USA and Americaloe did in fact comply with some of the 2004 FTC judgments, the FTC’s most recent ruling shows the regulatory body means to be taken 100 percent seriously even within the complex legal framework of the dietary supplement industry.

In ads, the Seasilver marketers had claimed the liquid dietary supplement – which contains aloe vera, phyto-silver sea vegetables, herbs, cranberry concentrate, and other ingredients – was clinically proven to treat or cure 650 diseases, including cancer and AIDS, as well as caused rapid, substantial, and permanent weight loss without dieting.

“The claims for Seasilver threatened consumers’ health by encouraging delays and replacements for proven treatments,” said director of FTC’s Bureau of Consumer Protection Howard Beales at the time. “The FTC and FDA are committed to taking aggressive action against false and unsubstantiated claims in the dietary supplement market”.

Read the entire article at Nutra Ingredients

Also, read our company overview:  Seasilver Facts, News and Review

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