Saturday, June 6, 2015

Fraud and Law


I will be adding to this post. 


2015
"THE EMOTIONAL IMPACT OF FRAUD VICTIMIZATION", color and bolding added by me,
"Fraud crime is a personal violation."

2013
"FRAUD VICTIM OR RECKLESS INVESTOR? – OUR RESPONSE TO BLAMING THE VICTIM"
"Fraud victims should be aware that the issue of their alleged contributory negligence has been addressed by the courts ... the Supreme Court of Canada held that, with respect to torts of strict liability, such as conversion (theft), the claim itself “militates against the defence of contributory negligence”. ... more plainly, a fraud victim’s lack of due diligence or reckless investing is not a defence available to some who made intentional fraudulent misrepresentations to obtain a fraud victim’s money. ... a fraud victim’s lack of due diligence is not a defence to a fraudster who steals by lies." - YOUR lack of research does NOT let them "off the hook" (from being liable) for their crimes! 

2016 
"April 4, 2016: Former Carlsbad Resident Jailed for Sale of Unapproved “Energy Wave” Medical Devices", color and bolding added by me, @US_FDA
SAN DIEGO – Former Carlsbad resident David Perez was sentenced ... to 30 months in custody for selling unapproved “Energy Wave” medical devices over the internet and mailing them to customers throughout the United States. ... The Energy Wave device consists of a micro-current frequency generator with a digital readout, two stainless steel cylinders, two personal application plates with connectors and lead wire for the cylinders and plates. ... to treat specific conditions from abdominal pain, AIDS and diabetes to stroke, ulcer and worms. ... David Perez ... admitted that he knew or should have known a number of his customers were vulnerable because they had purchased the device in an attempt to cure cancer, and that they were marketing the device without the proper FDA approvals. “It’s unconscionable to sell useless medical devices to critically ill people who are hoping for a miracle,” said U.S. Attorney Laura Duffy. “This sentence reflects the serious nature of this crime, and our commitment to protecting those who are most vulnerable to being preyed upon by heartless predators.” “This investigation uncovered a serious public health threat and should serve as a warning to those who put consumers at risk for their own financial gain,” said Dave Shaw, special agent in charge for HSI San Diego. ... “The U.S. Postal Inspection Service will continue to work with our partners in law enforcement to ensure that the U.S. Postal Service isn't used as a conduit for those criminals who seek to perpetrate medical quackery upon the American consumer,” said Robert Wemyss, Inspector in Charge of the U.S. Postal Inspection Service - Los Angeles Division. “This type of crime takes advantage of the most vulnerable segment of the population to include the elderly and terminally ill. The protection of our citizens remains the cornerstone of our mission.” ... When criminals sell misbranded devices not cleared by the FDA, they put users’ health at risk,” said Lisa L. Malinowski, Special Agent in Charge, FDA Office of Criminal Investigations’ Los Angeles Field Office.

2016
"January 20, 2016: Businessman Sentenced for Marketing and Selling Unapproved Remedies for Cancer", color and bolding added by me, @US_FDA
"James Feijo, 68, owner and operator of Daniel Chapter One, a Portsmouth, R.I., based company, was sentenced yesterday to 6 months in federal prison to be followed by 6 months home confinement for marketing and selling products not approved by the U.S. Food and Drug Administration (FDA) and failing to pay more than $218,000 in employment taxes due the IRS ... U.S. District Court Judge John J. McConnell, Jr., also ordered Feijo to serve 3 years supervised release and to pay restitution in the amount of $218,408.04 owed to the IRS. Feijo pleaded guilty on September 11, 2015, to introduction of a new unapproved drug and tax evasion. ... “The FDA’s drug approval process ensures that patients receive safe and effective medications,” said George M. Karavetsos, Director, FDA’s Office of Criminal Investigations. “When criminals evade the FDA process and sell their non-FDA approved products to our most vulnerable consumers, we will take action to protect the public’s health.” ... Feijo admitted to the court that he engaged in the marketing, sale and distribution of unapproved cancer treatment health products and supplements which were not generally recognized as safe and effective for use by the FDA. Additionally, the products, as marketed, were not generally recognized as safe and effective by qualified experts for the cure, mitigation, treatment, or prevention of cancer. The products were marketed and sold through various websites, in-store advertisements, a call center, on Feijos’ daily radio program, and through the use of promotional materials and publications." 

2015
"October 5, 2015: Manufacturer of Unapproved Medical Devices Sentenced to 18 Months in Prison", color and bolding added by me, @US_FDA
http://www.fda.gov/ICECI/CriminalInvestigations/ucm467863.htm
"David Arthur ... manufacturer of an unapproved medical device ... to serve 18 months in custody for his role in the distribution of the Energy Wave. The Energy Wave, a so-called Rife machine, consisted of a micro-current frequency generator with a digital readout and keypad, and two stainless steel cylinders and personal application plates with connections to ports on the generator. Users were provided with an operating manual and list of Auto Codes that set forth hundreds of digital device settings for treatment of specific medical conditions, including AIDS, diabetes, stroke, ulcer, and worm infection. ... Arthur was also fined $3,000 and ordered to forfeit $30,000. ... U.S. Attorney Duffy stated ... This case demonstrates our commitment to protecting the sick and vulnerable from those who would prey upon them and offer expensive miracle cures which have not been proven to be safe and effective for use."

2015
"October 28, 2015: Seller of “Miracle Mineral Solution” Sentenced to Prison for Marketing Toxic Chemical as a Miracle Cure", color and bolding added by me, @US_FDA
http://www.fda.gov/ICECI/CriminalInvestigations/ucm469831.htm
"sentenced ... to more than four years in federal prison for selling industrial bleach as a miracle cure for numerous diseases and illnesses, including cancer, AIDS, malaria, hepatitis, Lyme disease, asthma and the common cold ... Louis Daniel Smith ... to serve 51 months in prison to be followed by three years of supervised release. ... Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the Justice Department’s Civil Division. “Consumers have the right to expect that the medicines that they purchase are safe and effective.” ... Smith provided instructions for use of his product including that nausea, diarrhea and vomiting were all signs that the miracle cure was working. ... instructions also stated that despite a risk of possible brain damage, the product might still be appropriate for pregnant women or infants who were seriously ill."

Quacks are known for stating side effects are signs their products are working to manipulate their victims in hopes of preventing them from reporting adverse reactions to authorities. I've actually read such bs in their replies to customer inquiries online. For more on that, please also see "herxing", also known as "Healing Crisis" in this blog post http://ktanihairsense.blogspot.ca/2015/04/quackery.html.

2015
"Seller of “Miracle Mineral Solution” Convicted for Marketing Toxic Chemical as a Miracle Cure", color and bolding added by me, @TheJusticeDept

http://www.justice.gov/opa/pr/seller-miracle-mineral-solution-convicted-marketing-toxic-chemical-miracle-cure
"Louis Daniel Smith, 45, was convicted ... of conspiracy, smuggling, selling misbranded drugs and defrauding the United States. Evidence at trial showed that Smith operated a business called “Project GreenLife” (PGL) from 2007 to 2011. PGL sold a product called “Miracle Mineral Supplement,” or MMS, over the Internet. ... “This verdict demonstrates that the Department of Justice will prosecute those who sell dangerous chemicals as miracle cures to sick people and their desperate loved ones,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer of the Justice Department’s Civil Division.”"