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FTC Cracks Down on Internet Advertising Of Health Products,
Settles With 4 Companies
T he Federal Trade Commission is taking aim at cyberspace snake oil. In June the agency unveiled a new program, "Operation Cure.All," to crack down on bogus health claims for medical products and treatments advertised on the Internet. The FTC kicked off the program by announcing it had reached tentative settlements with four companies charged with making deceptive and unsubstantiated health claims for serious illnesses. The claims involved "miracle cures" for cancer, arthritis, heart disease, liver disease, and other conditions. The cases stemmed from two "Health Claims Surf Days" conducted by the FTC in 1997 and 1998. Those efforts turned up about 800 Web sites containing questionable health promotions for products or services claiming to cure, treat, or prevent AIDS, diabetes, and multiple sclerosis in addition to the conditions above. The FTC conducted the surf days in cooperation with government agencies from 25 countries including Canada and Mexico. After each surf day, the FTC sent e-mail warnings to the sites. Over 100 sites -- about 28 percent of those identified in 1998 -- removed the claims or were taken down voluntarily, according to a survey by the Commission. "Miracle cures, once thought to be laughed out of existence, have found a new medium," said Jodie Bernstein, director of the FTC's Bureaus of Consumer Protection. "Consumers now spend millions on unproven, deceptively marketed products on the Web. Our law enforcement efforts will continue to focus on deceptive and unproven claims," she said. As of December 1998, nearly 22.3 million Americans sought health information on the Internet, Bernstein noted. Health and medical information was the sixth most frequently accessed type of Web content, with cancer and heart disease topping the list of information queries. "With so many consumers relying on health information from the Web, we need to ensure that what they find is sound," said Surgeon General David Satcher. The four cases growing out of the surf days involved deceptive and unsubstantiated advertising claims for products sold on-line. The Arthritis Pain Care Center marketed a substance called CMO, purportedly a fatty acid derived from beef tallow. The product was said to cure most forms of arthritis by modifying the immune system, and to be helpful in curing many other diseases. Body Systems Technology, Inc. sold capsules of shark cartilage, and a Peruvian plant derivative called Cat's Claw in capsule and liquid form. These products were marketed as effective treatments for cancer, HIV/AIDS, and arthritis. Magnetic Therapeutic Technologies, Inc. relied on testimonials to promote magnetic therapy devices for the treatment of various cancers, high blood pressure, HIV, and other diseases. Pain Stops Here! Inc. also promoted magnetic therapy devices, claiming they could treat cancer, liver disease, and arthritis. Terms of the proposed settlements varied slightly among the four companies. All however, were barred from making unsubstantiated health claims about the products in question or about any food, drug, dietary supplement, or program. In addition, the Arthritis Pain Care Center and Pain Stops Here! Inc. were prohibited from misrepresenting the results of any scientific studies or research. Following a 60-day public comment period, the proposed consent agreements will become final. Operation Cure.All features a consumer education campaign in addition to the Web crackdown. At the June kickoff, the FTC's Bernstein introduced two new consumer alerts on fraudulent health claims and invited attention to www.healthfinder.gov, billed as the "federal consumer health information gateway." "Consumers must be provided with reliable resources so that they can use the Internet to find the support and health care information they need," Bernstein said. |
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