The U.S. Department of Justice (DOJ) announced today the arrest of Ruthia He, founder and CEO of Done Global Inc., and David Brody, clinical president of Done Health P.C., in connection with a scheme to distribute Adderall over the internet and commit health care fraud. The arrests took place in Los Angeles and San Rafael, California, respectively.
According to the DOJ, He and Brody allegedly conspired to distribute Adderall and other stimulants by exploiting telemedicine services during the COVID-19 pandemic. They are accused of submitting false claims for reimbursement and obstructing justice.
"The individuals charged today allegedly disregarded the first rule of medical care—do no harm—in order to maximize profits," said Secretary of Homeland Security Alejandro N. Mayorkas. "The indictment levied against these individuals sends a clear message: the Department of Homeland Security... will hold accountable those providers and prescribers who prey on their patients."
Attorney General Merrick B. Garland stated that the defendants exploited the pandemic to develop a $100 million scheme involving illegal distribution of controlled substances online. Principal Deputy Assistant Attorney General Nicole M. Argentieri highlighted that this case marks the DOJ's first criminal drug distribution prosecution related to telemedicine prescribing through a digital health company.
Court documents allege that He and Brody structured their platform to facilitate easy access to Adderall by limiting information available to prescribers, instructing them to prescribe stimulants even when not medically necessary, and implementing an "auto-refill" function for monthly prescriptions.
DEA Administrator Anne Milgram noted that Done Global Inc.'s operations exacerbated shortages in prescription stimulants like Adderall by diverting pills away from those with legitimate medical needs.
Deputy Chief Matthew Yelovich emphasized that illegal transactions over the internet must always be prosecuted as vigorously as traditional frauds.
He and Brody face multiple charges including conspiracy to distribute controlled substances, health care fraud, and obstruction of justice. If convicted, they each face up to 20 years in prison.
The investigation is being conducted by DEA, HHS-OIG, HSI, and IRS Criminal Investigation units. The DOJ Fraud Section leads efforts against health care fraud through its Health Care Fraud Strike Force Program.
Any patient or medical professional involved with Done’s alleged illegal conduct is urged to report it via DEA hotline at 646-466-5159.
An indictment is merely an allegation; all defendants are presumed innocent until proven guilty beyond a reasonable doubt in court.
