A federal jury in San Francisco convicted two executives Tuesday at California-based telehealth company Done for their roles in illegally distributing Adderall and other stimulants online to patients, according to the U.S. Department of Justice.<\/p>\n
Ruthia He, founder and CEO of Done Global, and David Brody, the clinical president of Done Health, were each convicted on one count of conspiracy to distribute controlled substances, four counts of distribution of controlled substances, and one count of conspiracy to commit health care fraud, according to a press release<\/a> from DOJ. He was also convicted of conspiracy to obstruct justice.<\/p>\n The company bought over $40 million of what DOJ called \u201cdeceptive advertisements\u201d on social media to promote its sale of ADHD medications during the height of the Covid-19 pandemic, starting in 2020. He, the founder of the company, had no medical training but was responsible for approving clinical practices. He and Brody also bought targeted search ads aimed at people who wanted to get ADHD meds without a legal prescription.<\/p>\n The company paid nurse practitioners up to $60,000 per month to refill prescriptions and set up an \u201cauto-refill\u201d technology that allowed for automated refills without follow-ups from the clinic, according to DOJ. He, Brody, and others also conspired to defraud insurers, according to DOJ, by allowing people to get reimbursed for Adderall prescriptions at pharmacies.<\/p>\n DOJ also alleged that He and Brody told nurses to keep prescribing Adderall to people who were abusing other medications. Done continued to provide Adderall to patients even after family members contacted the company because their loved ones were experiencing bipolar episodes, Adderall-induced psychosis, or other mental health conditions while taking the drugs.<\/p>\n \u201cThis case represents one of the most egregious abuses of telehealth we\u2019ve seen,\u201d said Christian J. Schrank of the HHS Office of Inspector General<\/a>.<\/p>\n \u201cThe defendants built a brazen business model based on addiction, deception, and disregard for patient safety\u2014flooding the market with controlled substances while defrauding federal health care programs,\u201d continued Schrank. \u201cTheir intentional disregard for patient safety and the law put lives at risk and eroded public trust in digital medicine.\u201d<\/p>\n As Reuters<\/a> notes, it\u2019s the first illegal drug prosecution of a telehealth company. Done denied that its executives had done anything wrong in a statement to Gizmodo after He and Brody were arrested in July 2024<\/a>.<\/p>\n \u201cDone Global strongly disagrees with the criminal charges filed last week against our founder, Ruthia He, and Dr. David Brody, which are based on events that principally occurred between February 2020 and January 2023,\u201d the company said at the time.<\/p>\n \u201cSince our founding, Done Global has worked to make mental health care accessible for tens of thousands of Americans trapped in a spiraling national crisis. Done Global will continue to operate \u2013 and do everything in our power to ensure that tens of thousands of Americans that rely on us do not lose access to their mental health care. At the same time, we will continue to support our clinicians as they exercise independent clinical judgment, practice evidence-based medicine, and provide best-in-class health care.\u201d<\/p>\n Gizmodo reached out for comment Wednesday but didn\u2019t immediately hear back. Brody and He both face up to 20 years in prison. Sentencing is scheduled for Feb. 25, 2026.<\/p>\n \u201cThe fraudulent acts of He and Brody led to clients\u2019 substance abuse, addiction and, in some cases, overdose,\u201d said Harry T. Chavis from the IRS Criminal Investigation New York said in a statement posted online.<\/p>\n \u201cInstead of putting the care of their customers first, they prioritized their own greed by fraudulently prescribing more that $100 million worth of Adderall and other stimulants. These were shameful acts, and a jury of their peers agreed. Both He and Brody will now face the consequences of this egregious fraud.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"A federal jury in San Francisco convicted two executives Tuesday at California-based telehealth company Done for their roles…\n","protected":false},"author":2,"featured_media":303153,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[58],"tags":[97,243,18566],"class_list":{"0":"post-303152","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-medication","8":"tag-health","9":"tag-medication","10":"tag-telehealth"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/303152","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=303152"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/303152\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/303153"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=303152"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=303152"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=303152"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}