|
FORT LAUDERDALE, FLA---Four individuals and their companies have been sentenced in Fort Lauderdale federal court for engaging in a scheme to defraud by marketing and selling to health care providers for use in human patients fake Botox, an anti-wrinkle drug.
The husband and wife physicians made more than $1.7 million in the scheme, prosecutors said.
Defendants Chad Livdahl, his wife, Zarah Karim, Bach McComb, Robert Baker, Powderz, Inc., Toxin Research International, Inc., The Cosmetic Pharmacy, Inc. and Z-Spa, Inc., all sentenced by United States District Court Judge James I. Cohn.
According to court records, the defendants allegedly conspired to purchase 3,081 vials, each containing five nanograms of Botulinum Toxin Type A and other ingredients, in a formulation designed to imitate Allergan's Botox®Cosmetic, the only product made with Botulinum Toxin Type A that is approved by the FDA for use in human beings.
The defendants then allegedly sold the fake Botox as a cheap alternative to Allergan's Botox® Cosmetic, without the administering health care providers advising their human patients that the fake Botox was not Allergan's Botox® Cosmetic and was not approved by the FDA for use in human beings. Health care providers then used the defendants' Botulinum Toxin Type A on their human patients, despite labeling that stated, "For research purposes only; not for human use."
Livdahl pleaded guilty to one count of conspiracy to defraud the United States, to engage in mail and wire fraud, and to misbrand a drug, and one count of mail fraud. He was sentenced to nine years in prison, followed by three years' supervised release, joint and several restitution in the amount of $345,567.20, forfeiture to the United States of $882,565, and a $200 special assessment.
His wife, who pleaded guilty to the same charges as was sentenced to six years in prison, to be followed by three years' supervised release, joint and several restitution of $345,567.20, and a $200 special assessment. She will likely serve only two years though, because she will be transferred to her native Canada and will be eligible for early release.
McComb, who pled guilty to one count of misbranding a drug in interstate commerce, in violation of the Food, Drug & Cosmetic Act, was sentenced to three years' imprisonment, followed by one year of supervised release, and a $100 special assessment.
Baker, who pled guilty to one count of mail fraud, was sentenced to 180 days' home detention, two years' probation, $5,000 fine, and a $100 special assessment.
Each of the corporations, which had pled guilty to the conspiracy charge, was sentenced to joint and several restitution of $345,567.20. In addition, Powderz, Inc., the only one of the four corporations that is still active, was sentenced to three years' probation.
U.S. Attorney Alexander Acosta said "The severe sentences imposed in this case are fair punishment for the callous crimes these defendants committed. Doctors and medical practitioners have a solemn duty to those for whom they care. These defendants breached that duty and endangered the lives of their patients by selling deadly toxin packaged in harmless-looking vials to unsuspecting patients in our community. The pain and suffering they caused is immeasurable. They have now been held accountable for their actions." 1-27-06
© 2005 North
Country Gazette
|
