GNC Holdings Inc., one of the America's largest retailers of supplements has agreed to pay $2.25 million to avoid federal prosecution.
GNC Avoids Federal Prosecution
It is to be noted that by agreeing to pay the huge sum of money, GNC did not admit any wrongdoing. The senior Justice Department official noted that the move is an important step toward reforming some industry practices.
The renowned global dietary supplement store, on the other hand, has agreed to have a keen eye on the products sold in its chains and remove pills and potions that carry illegal ingredients. The company has also noted that it would maintain a list of restricted ingredients as well as ingredients that are deemed safe to be sold.
USP Labs Products Sold In GNC
GNC landed in trouble following allegations that it sold a misbranded supplement named OxyElite Pro Advanced Formula manufactured by USP Labs based in Dallas in 2013. USP Labs was charged in November 2015 that it procured some ingredients from China with fake certificates and labeling.
USP Labs is accused for claiming that the supplements contained plant based natural ingredients while it had synthetic stimulants imported from China.
GNC reportedly sold the products in their stores based on USP's claim that the ingredients are safe and abide with federal laws. Moreover, the retailers have admitted that no attempts were made to verify the fidelity of USP's claims.
Attorney General Benjamin C. Mizer, head of the Justice Department's Civil Division said that it is essential for companies like GNC to make sure that the products sold in their stores are not untested or questionable.
GNC Settles Issues Amicably
Meanwhile, GNC said that it is pleased for having settled the issue related to USP products with DOJ amicably and also noted that the supplements were removed from its chains years ago, noted Consumer's Affair.
The company also noted in the statement that it is glad to have put an end to this issue and moving forward, it is committed to sell products of high standards with safe ingredients to help people live healthier.
In addition, GNC has obliged to be stringent with its vendors in making sure the ingredients contained in the products don't fall under restricted list.
"GNC will maintain and continuously update a list of ingredients that will be prohibited from inclusion in any products that are sold by GNC," the DOJ said.