Formula Gougers Hit With $90K Donation Order

NEW YORK – Letitia James, New York’s Attorney General, isn’t just filing papers – she’s delivering justice, one can of baby formula at a time. Today, she announced the delivery of over 600 cases of baby formula, valued at over $90,000, to families in the Capital Region. This isn’t charity; it’s restitution forced upon Marine Park Distribution, Inc. (Marine Park) and its affiliate, Formula Depot, Inc. (Formula Depot), for brazenly exploiting a national crisis.

The $90,000 shipment, five pallets of essential infant nutrition, stems from a settlement reached after the Office of the Attorney General (OAG) investigated Marine Park and Formula Depot for illegal price gouging during the 2022 baby formula shortage. The OAG discovered that, while parents scrambled to feed their children, Marine Park was doubling down on profits – literally. Customers were being slammed with prices as high as $36 for a can that previously cost $18. The formula was delivered to the Regional Food Bank in Latham for distribution.

“Businesses cannot take advantage of an emergency to jack up prices for essential goods and rip off New Yorkers,” Attorney General James stated bluntly. “Marine Park and Formula Depot’s price gouging put families at risk, and today we’re ensuring New Yorkers in need get justice. This formula will benefit families across the Capital Region, and I will continue to enforce our laws to protect New Yorkers from price gouging.” James isn’t playing games; she’s sending a clear message: exploit a crisis, and you’ll face consequences.

The 2022 shortage was triggered by the closure of an Abbott Laboratories manufacturing plant and a subsequent recall, leaving families reeling and supplies dwindling. Abbott, responsible for over 40% of the U.S. infant formula market, shuttered a facility accounting for roughly one-fifth of total production. New York’s price gouging laws stepped in, prohibiting vendors from exploiting the situation by inflating prices on vital goods. James’ office issued warnings to over 30 retailers after receiving reports of exorbitant prices.

The OAG investigation revealed Marine Park and Formula Depot weren’t just slightly increasing prices – they were exceeding legal limits by over 60%, raking in hundreds of thousands in ill-gotten gains. One particularly galling case involved a consumer who relies on Formula Depot for formula suitable for babies with milk and soy allergies. They purchased a case for $190, only to be charged $245 for the *same* case weeks later. As a result of the investigation, Marine Park and Formula Depot must provide $675,000 worth of baby formula to New Yorkers in need by November 2025, and have paid a $75,000 penalty to the state. This donation brings the total formula distributed through settlements to over $800,000. In December 2024, James donated 3,300 cans worth $140,000 to Foodlink in Rochester. In March 2025, $344,000 worth of formula went to families in the Bronx.

Michael-Aaron Poindexter, Chief Program Officer of the Regional Food Bank, expressed gratitude for the donation, noting that food insecurity rates in their service area are at 12.2%. “This donation will provide much-needed support and peace of mind to families across our communities,” Poindexter said. Attorney General James is clearly establishing herself as a force to be reckoned with – a prosecutor who doesn’t just talk about protecting consumers, but actively delivers relief when they’re being exploited. The fight continues.”

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