Supplement company to pay $2.5 million to FTC

8/13/2008

WASHINGTON A dietary supplement maker has agreed to pay $2.5 million to settle a Federal Trade Commission charge of false advertising, the FTC announced Tuesday.

The FTC filed a complaint against the North American Herb & Spice Co. and owner Judy Kay Gray, alleging that the company falsely claimed that three of its oregano-based supplements—Oreganol P73, Super Strength Oreganol P73 and Oregacyn—were scientifically proven to prevent or treat colds and the flu, strengthen the immune system and kill germs ranging from mold and yeast to hepatitis C and avian bird flu virus.

Under the settlement, the company is forbidden from making said claims about their products unless they are true, not misleading and based on reliable scientific evidence.

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