FTC, Web companies settle on health claims

By Elizabeth Cohen
CNN Medical Unit

WASHINGTON (CNN) -- Five companies told the Federal Trade Commission they'll stop making health claims for products sold online, the FTC announced at a press conference Thursday. A sixth company has also agreed to comply, after a court hearing.

The products, according to the FTC, made a wide range of claims, including that a mild electric current kills parasites that "cause" cancer or Alzheimer's, and that herbs can treat cancer so patients could forgo conventional treatments such as surgery or chemotherapy.

"The claims are very strong. They suggest that the products can be used to cure very serious diseases, and our review in this area indicates there's not a scientific basis to support those claims," said Lee Peeler, the commission's associate director of advertising practices.

The companies targeted in the FTC action: Viable Herbal Solutions www.viable-herbal.com ForMor International www.formorintl.com Oasis Wellness Network www.oasisnetwork.com Aaron Company Jaguar Enterprises www.ioa.com/~dragonfly Western Herb and Dietary Products Inc. www.curecancer.com

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Some of the sites marketed the herb St. John's Wort for the treatment of HIV and AIDS. According to the FTC, there's no proof the herb helps patients, and doctors have warned that St. John's Wort can interfere with protease inhibitors used to treat AIDS.

The five companies -- Viable Herbal Solutions, ForMor International, Oasis Wellness Network, Aaron Company, and Jaguar Enterprises -- agreed to settle the charges with the FTC.

In addition, the FTC's proposed consent decree orders one company, MaxCell Bioscience, which also does business as Oasis Wellness, to pay a $150,000 fine, which the FTC will use to provide refunds for MaxCell's customers. The agency said MaxCell claimed a dietary supplement containing the hormone DHEA reverses the aging process and prevents and treats numerous diseases. The FTC also said the company claimed that a urine test it sells provides a clinical gauge of an individual's overall healthiness and youthfulness.

The agency went to federal district court in Washington state to get a temporary injunction against a sixth company, Western Herb and Dietary Products Inc., whose Web site, curecancer.com, was not on the Internet Thursday. The injunction issued by the Seattle court called on the company to stop making health claims about its product on the Web. All parties agreed to a preliminary injunction, which the FTC hopes will be signed later Thursday.

In all of the cases, the FTC didn't tell the companies to stop selling the products, but rather ordered them to stop making claims that the products are effective at treating or preventing diseases.

Several of the companies could not be reached for comment Thursday, but a spokesman for one company, Viable Herbal Solutions, said he willingly complied with the order.

"The FTC asked us to modify our claims and told us very specifically what our labels and our product literature had to say," said Jack Luby. "The product information had to reflect the most current FDA warning on St. John's Wort."

But he added that it seemed the agency was targeting smaller companies like his and leaving bigger companies alone.

But FTC officials said they're not done yet.

"The FTC will step up its efforts to combat internet health fraud," said Timothy Muris, chairman of the commission. "But it's important consumers also exercise caution. The reality is that there are still many suspect products and services being sold on the Web."

In particular, the FTC warned consumers to be wary of claims that a product is a "scientific breakthrough," "miraculous cure" or "secret ingredient," and to be suspicious of testimonials from people who claim amazing results.