By Katherine Webster  |  October 1, 2020

Category: Covid-19

Falsely advertised coronavirus cure triggers lawsuit.

Arkansas Attorney General Leslie Rutledge has filed a lawsuit alleging a Fayetteville medical firm targeted the region’s Hispanic community with fraudulent claims of a coronavirus cure.

Rutledge claims Arkansas Regenerative Medical Center (ARMC) exploited Arkansas residents’ fear surrounding the coronavirus outbreak by telling them they could strengthen their immune systems so as to fight COVID-19 and “enhance their bodies’ natural ability to heal itself.”

According to the lawsuit, the defendants’ false and deceptive statements led consumers to purchase COVID-19-related goods and services.

The attorney general’s office says it was alerted to the situation on June 9, receiving reports that ARMC was advertising COVID-19 tests for $160, along with a $3,000 coronavirus cure if the patient tested positive.

ARMC was advertising the alleged coronavirus cure on a local radio station, La Zeta, “to target the Latino community in Northwest Arkansas.”

Similar advertisements appeared on social media, according to the lawsuit, and defendant Serge P. Francois, a licensed chiropractor with ARMC, made similar claims during an interview on La Zeta. 

The defendant’s website also reportedly had a section called “COVID-19 Breaking News,” which discussed the use of stem-cell infusions as a treatment for the disease. The site stated that patients infected with COVID-19 “may be more likely to combat and survive the related secondary issues” of the infection if they underwent suggested AMRC treatments.

However, the lawsuit says, the National Institute of Health’s COVID-19 guidelines panel recommends against the use of stem cells to treat the disease except during clinical trials.

False coronavirus cure triggers lawsuit. As Rutledge points out, no “vaccines, pills, potions, lotions, lozenges, or over-the-counter products” exist that can treat or cure COVID-19, according to the Centers for Disease Control and Prevention (CDC). She says to advertise otherwise is unlawful. 

One woman, Ana Sanchez, was charged $3,000 for an ozone therapy treatment at ARMC on March 10, the lawsuit claims. She was also given a 20-day supply of dietary supplements and a “glutathione push.” Her total bill came to $3,538.83.

Another Arkansas consumer was allegedly told she needed to buy a $3,300 “COVID-19 immunity package” and that ARMC had “‘5% positive and 95% negative virus’ and that it ‘was best to pay cash because insurance was not going to cover the package.’”

At least five additional consumers reportedly paid $14,384 for ARMC treatments between May 29 and June 18, 2020.

According to the Arkansas Democrat-Gazette, any similarly affected consumers should call Rutledge’s office at (800) 482-8982 or visit ArkansasAG.gov.

“I will not allow Arkansans to fall prey to fraudulent COVID cures, especially when the scams take advantage of a language and cultural barrier,” Rutledge said in a statement. “This business preyed on public fear and targeted a minority community for personal gain. I will continue to work to hold accountable those who exploit consumers during the COVID-19 pandemic.”

The attorney general is asking that the Court order the defendants to stop the alleged fraudulent practices; require the defendants to pay restitution to affected Arkansas consumers; order the defendants to stop trying to collect money from those consumers, to withdraw any consumer accounts referred to collections, and to remove any negative information from their credit reports; impose civil penalties of $10,000 for each violation proven at trial; and require the defendants to pay costs related to the investigation and litigation of the case.

Do you think the medical firm took advantage of the coronavirus outbreak to target the Hispanic community? Let us know your thoughts in the comments.

The attorney general is joined by Assistant Attorney General Shannon Halijan in representing the people of Arkansas in this lawsuit.

The Arkansas Fraudulent Coronavirus Cure Lawsuit is State of Arkansas v. Arkansas Regenerative Medical Center Ltd., et al., Case No. 72-CV-20-2057, in the Circuit Court of Washington County, Arkansas, Civil Division.

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