A high-stakes prescription for disaster has been foiled in California, where authorities have arrested the CEO of a digital health company accused of running a lucrative Adderall scheme.
U.S. Attorney’s Office officials revealed that Ruthia He, 47, founder and CEO of Done Global Inc., and David Brody, 40, clinical president of Done Health P.C., were taken into custody in connection with a $100 million operation to distribute Adderall online, while conspiring to commit health care fraud and obstructing justice.
SAN FRANCISCO – The CEO and her clinical president accomplice allegedly exploited the COVID-19 pandemic to develop and carry out a massive scheme to defraud taxpayers and provide access to Adderall and other stimulants for no legitimate medical purpose, said Attorney General Merrick B. Garland. “Those seeking to profit from addiction by illegally distributing controlled substances over the internet should know that they cannot hide their crimes and that the Justice Department will hold them accountable.”
The indictment alleges that He and Brody conspired with others to provide easy access to Adderall and other stimulants in exchange for a monthly subscription fee. The scheme generated over $100 million in revenue by arranging for the prescription of over 40 million pills, said Principal Deputy Assistant Attorney General Nicole M. Argentieri.
Ruthia He and David Brody allegedly obtained subscribers by targeting drug seekers and spending tens of millions of dollars on deceptive advertisements on social media networks. They intentionally structured the Done platform to facilitate access to Adderall and other stimulants, according to court documents.
As alleged in the indictment, the defendants provided easy access to Adderall and other stimulants by exploiting telemedicine and spending millions on deceptive advertisements on social media. They generated over $100 million in revenue by arranging for the prescription of over 40 million pills.
The cases against He and Brody are being prosecuted by the U.S. Attorney’s Office for the Northern District of California, with assistance from the Department of Justice’s Criminal Division, the Department of Homeland Security, and the Federal Bureau of Investigation. Their initial appearances are scheduled for today in Los Angeles and San Francisco, respectively.
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Key Facts
- State: California
- Agency: DOJ USAO
- Category: Drug Trafficking|Fraud & Financial Crimes|Violent Crime
- Source: Official Source ↗
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