Indian origin pharma executive gets over 3-year jail for fraud sales
New York: An Indian-origin pharmaceutical executive has been sentenced by a federal judge in Texas to 41 months in prison for fraudulently selling workout supplements, according to officials.
Acting North Texas Federal Prosecutor Prerak Shah announced on Friday the sentencing of a 37-year-old pharma executive, on a conspiracy charge relating to the misbranding of the supplements.
The pharma executive and several of his co-defendants had admitted before the Texas Northern District Court in Dallas that they imported substances with false and misleading labelling of products, according to the Justice Department.
According to court documents, the vice president of SK Laboratories, played a key role in developing and manufacturing the popular workout and weight loss supplements known as Jack3d and OxyElite Pro.
Workout supplements are dietary products used to boost energy for athletics and exercises.
The pharma executive also admitted to a misbranding charge that the Department said related in part to OxyElite Pro, which was recalled in 2013 after a Food and Drug Administration (FDA) investigation into whether the supplement caused liver injuries in consumers.
A federal grand jury -- a citizens' panel that determines if there is a prima facie case -- charged the accused and others in 2015 with selling some of their products without determining whether they would be safe to use.
Shah said, "We are proud to hold this defendant accountable for lying to the public about ingredients that had the potential to cause them harm."
The pharma executive was sentenced on Friday by Federal Judge Sam A. Lindsay, who had earlier ordered SK Laboratories, to forfeit USD 6 million in connection with the case., according to the Department.
The court had previously sentenced to various terms of imprisonment four persons who were associated with USP labs, which distributed the products.