Firms fined $150 million over false advertising of diet supplement

SANTA ANA, Calif. (AP) Federal officials have hit several Southern California distributors with tens of millions of dollars in fines for falsely advertising a dietary supplement's ability to restore memory loss and improve brain function.

The Orange County Register reported Monday that the judgment comes following a settlement last week in which the firms acknowledged violating Federal Trade Commission rules in advertising Procera AVH.

Laguna Beach companies Brain Research Labs and its collaborators 20/20 Brain Power Partners, 20/20 Brain Power Founders, and MedHealth Direct were fined $91 million. Key View Labs, the Florida-based company that bought Brain Research Labs in 2012, was fined $61 million.

The newspaper says most of each judgment could be suspended in lieu of an escrow fund that will used to repay consumers who bought the supplement.
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