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EL SEGUNDO, CALIF. - The Federal Trade Commission (FTC) levied fines on Jan. 7 against SENSA Products LLC and three other weight-loss product makers for deceptive advertising practices. The FTC says the action was part of what it calls "Operation Failed Resolution" - an ongoing effort to stop misleading claims for products promoting easy weight loss.
SENSA will pay $26.5 million, money the FTC says will be used as refunds to SENSA customers.
The FTC charged SENSA, its parent company and two individuals with deceptively advertising that the powdered food additive enhances food's smell and taste, making users feel full faster so they eat less and lose weight - without dieting and without changing their exercise regimes. The defendants did not have competent and reliable scientific evidence to support these claims, according to the FTC's complaint.
The FTC's complaint names SENSA Inc.'s former CEO Adam Goldenberg, and SENSA creator and endorser Dr. Alan Hirsch.
The FTC says the defendants failed to disclose the fact that some consumers were compensated for their endorsements of SENSA. In some instances, compensation included payments...