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Telehealth Executives Arrested In $100M Adderall Distribution Scheme

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US investigators have arrested the founder and CEO of a telehealth company for orchestrating a $100 million scheme to distribute over 40 million pills of Adderall and other controlled substances illegally . 

US Attorney General Merrick Garland said Done CEO Ruthia He and the company's clinical president, David Brody, conspired to provide easy access to these drugs without legitimate medical purposes.

Garland said the executives exploited relaxed telemedicine rules during the COVID-19 pandemic. 

Done Global, a San Francisco-based start-up, gained popularity during the pandemic by offering Adderall prescriptions through a monthly subscription service. 

He was arrested in Los Angeles and Brody in San Rafael, California. 

Both are charged with the distribution of controlled substances and face up to 20 years in prison if convicted.

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Adderall is a medication used to manage ADHD symptoms, which can include difficulty focusing. 

These charges come amidst a national shortage of the drug. 

Principal Deputy Assistant Attorney General Nicole Argentieri accused the pair of spending millions on deceptive social media advertisements.

The alleged scheme included raising subscription fees to increase the company's value and unlawfully enrich themselves. 

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The defendants also allegedly limited information available to prescribers.

They are accused of instructing them to prescribe medications even when patients did not medically qualify.

Investigators say they mandated Done patients complete an initial screening with the prescriber in no more than 30 minutes. 

Officials claim the scheme continued even after the executives were made aware of online posts detailing how to use Done to obtain easy access to Adderall and other stimulants.

Some Done members are reported to have overdosed and even died

The executives are also accused of defrauding government healthcare programs Medicare and Medicaid, as well as pharmacies, out of at least $14 million. 

Furthermore, they allegedly conspired to obstruct justice by deleting documents and emails.

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