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Mannatech responds to Texas Attorney General charges
By Tasha Hayton, Staff Writer
Watch VideoAfter the charges by Texas Attorney General Greg Abbott against Mannatech for unlawful and misleading sales practices, Mannatech representatives issued a short statement in response to the charges.
“We are aware of the situation and will be taking appropriate action to address any issues or concerns from the Texas Attorney General’s office,” said Terry Persinger, Mannatech’s President. “We take matters of this nature very seriously and intend to cooperate to reach a resolution.”
There could be no further comment because the case is currently in litigation, said Alan Van Zelfden, a Mannatech representative.
The company sells through the use of independent associates and members located in the United States and the international markets of Canada, Australia, the United Kingdom, Japan, New Zealand, the Republic of Korea, Taiwan, Denmark and Germany, according to the statement.
The plaintiff’s petition was filed through Abbott’s Consumer Protection and Public Health Division.
About the charges
As stated in the filed document, the defendant markets and sells dietary supplements to “cure, mitigate, treat or prevent diseases, illnesses or serious conditions, despite Defendant [CEO Samuel L.] Caster’s admission that the products do not cure any disease.”
The charges are an attempt to shut down the “elaborate scheme,” Abbott said.
The company’s products are not approved as drugs by the U.S. Food and Drug Administration and the health claims are not supported by legitimate scientific studies, Abbott said in a press release.
If studies done by the company were scientifically valid, the company could still not rely upon them to support its claims to cure or prevent disease or illness as the products are dietary supplements and not drugs, the petition said.
Since dietary supplements are regulated as foods under the Texas Food, Drug and Cosmetic Act, claims cannot be made saying the supplements cure or treat diseases. If such claims are made, the product must be a FDA approved drug.
The petition also stated the company hosts at least four corporate conventions each year to promote its products. At these conventions, Mannatech associates and their family and friends claim the products have cured or prevented diseases.
The purpose of the conventions is to “create a frenzy and motivate associates to sell even more products, in large part through the relaying of deceptive claims set forth in the testimonials,” the petition stated.
The defendant’s are accused of violating the Texas Deceptive Trade Practices Act. The charges may result in $20,000 per violation. The other charges under the Texas Food, Drug and Cosmetic Act may result in $25,000 of penalties per day, per violation.
For more information, visit www.oag.state.tx.us.
For more information on Mannatech, visit www.mannatech.com.
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