FTC’s First Case Against Paid Fake Reviews

FTC’s First Case Against Paid Fake Reviews

Last week, the Federal Trade Commission announced its first case against a marketer’s use of paid fake reviews on an independent website. Cure Encapsulations, Inc. and its owner, Naftula Jacobowitz, settled with the FTC to resolve allegations that they made false and unsubstantiated claims for their garcinia cambogia weight loss supplement and that they paid a third-part website to write and post fake reviews on Amazon. “People rely on reviews when they’re shopping online,” said Andrew Smith, Director of the FTC’s Bureau of Consumer Protection. “When a company buys fake reviews to inflate its Amazon ratings, it hurts both shoppers and companies that play by the rules.”

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