United Sciences of America

Add links
Source: Wikipedia, the free encyclopedia.
United Sciences of America, Inc.
Defunct1987 (1987)
FateBankruptcy
Headquarters
Carrollton, Texas
,
United States

United Sciences of America, Inc. (also known as USA) was an American company that was accused of fraud and shut down in the late 1980s. USA manufactured

attorneys general
in three different states. Several of the company's advisors resigned, and USA declared bankruptcy in 1987.

Background

The company was based in

heart disease.[1]

Receiving endorsements from several celebrities, including

Bill Rodgers
and Gary Carter stating that USA could help distributors to achieve financial security.

USA had a 16-member executive advisory board including notable scientists such as Michael DeBakey and Dr. Alexander Leaf, but these members were paid consulting fees ranging from $5,000 to $20,000, and/or received research grants from the company which could be worth $50,000 to $100,000.[1]

Fraud

In October 1986, USA was the subject of an exposé produced by the NBC network, which revealed the company's use of fraudulent scientific claims and deceptive advertising.[2] In November, the company failed to mail some of its commissions, and by December, the company's checks to distributors were bouncing.[1]

The

Money magazine, "They used my name with false statements to advertise the products." In February 1987, company executives told the FDA that they were going to make labeling changes and bring everything into compliance, but in April USA filed for Chapter 7 bankruptcy liquidation and ceased operation. USA's deceptive sales and marketing tactics were reviewed in several articles published in 1986-1987.[1][2][3][4][5][6][7]

See also

References

  1. ^ a b c d "USA: The strange rise and fall of one MLM". Money (June 1). 1987.
  2. ^ a b Farley, Dixie (1987). "The eyes of Texas were upon them - and FDA - United Sciences of America Inc". FDA Consumer (October).
  3. PMID 3762604
    .
  4. PMID 3592422
    .
  5. PMID 3762603
    .
  6. PMID 3775374
    .
  7. ^ Blodgett, N. (1987). "State tackles health care frauds". ABA Journal. Oct 1, 1987: 32.
Retrieved from "https://en.wikipedia.org/w/index.php?title=United_Sciences_of_America&oldid=1173372749"