Feds Halt Spurious Healthcare 'Opportunity'

In addition, the FTC has halted their sale of an herbal tea product, marketed with claims that it could prevent, treat, or cure a digit of diseases, including AIDS, diabetes, cancer, arthritis, strokes, and heart disease. The defendants will turn over all of their frozen possessions to settle the FTCâ s charges.

According to the FTC, the family and their companies operated a traveling way show, where the father, Jeffrey Wayne (J.W.) McLain held â healthcare conferencesâ at large lodging and convention centers. At those conferences, McLain conned consumers into purchasing bogus healthcare biz ventures championing $2,495.

The defendants offered to share their supposedly lucrative business model, promising consumers start-up assistance and claiming that they could earn $1 million a year. Upon further investigation, the FTC discovered that the father, one son, Alexander McLain, and the companies were engaged in a second healthcare fraud, selling an herbal tea that purportedly prevented, treated, or cured a number of serious diseases.

The FTC said claims approximately the curative powers of the tea, marketed below the names â Prophet 3H,â â Ezekiel Cleansing Tea,â and â Ezekiel Healing Tea,â were false and unsubstantiated.

Under the orders settling the charges, all of the defendants are prohibited from making false petition about any business endeavor or violating the Franchise Rule or the Business Opportunity Rule. In appendix to J.W.

McLain and Alexander McLain, the other defendants bear the other son, Victor McLain, and the companies: Prophet 3H, Inc.;

Prophet 3H, LLC; Georgia At ease Health Bother License and Certification Institute, Inc.; Healthcare Sovereign state License and Certification Institute, Inc.; M7 Holdings, LLC.

With the exception of Victor McLain, the orders again bar the other defendants from making any false or unsubstantiated picture about the health benefits or efficacy of any food, drug, or dietary supplement. The order against the dad and the companies enters a discrimination of $26,645,479.

The progression against Alexander enters a $4,974,449 judgment, and the order against Victor come in a $125,900 judgment. All of the judgments are suspended based on sworn monetary disclosures from the defendants. More Scam Alerts.

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From http://consumeraffairs.com/news04/2008/01/ftc_health.html