FTC Refunds Nearly $6m to Victims of Acai Berry Internet Fraud

The Federal Trade Commission (“FTC”) announced that 316,716 checks totaling just under $6 million are being mailed by an FTC administrator to consumers who purchased acai berry supplements, “colon cleansers,” and other products from Phoenix-based Central Coast Nutraceuticals, Inc. The 316,716 checks average $18.74 each to consumers who filed for refunds with the FTC before the deadline and must be cashed within 60 days of receipt. Central Coast Nutraceuticals (“CCN”) was charged in August 2010, along with two individuals and four related companies, for victimizing consumers in a massive Internet sales scheme. The FTC claimed that the defendants posted attention-grabbing ads on search engines and high volume websites, driving traffic to fake news sites and ultimately to sites where products are sold. The agency further alleged that over a three-year period, the defendants scammed approximately one million consumers out of more than $100 million through deceptive advertising and unfair billing practices.