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US Lawyer Takes on Slimmer

By a.coggan@hdmp.co.uk
Source: www.thisishullandeastriding.co.uk
Published: December 31, 2004

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Three East Yorkshire businessmen accused by US authorities of a slimming patch scam will find out in the new year if their case is to be heard in America.

Gary Bush, David Varley and Laurence White are accused of netting "ill- gotten gains" from an advertising campaign in the US.

The men, all directors of Driffield firm Kingstown Associates, are accused of "deceptive practices and false advertising" relating to the sale of slimming patches claiming to "melt away" fat.

Advertising for two products, Hydro-Gel Slim Patch and Slenderstrip, claimed users could lose up to one pound a day, even in their sleep, without diet or exercise.

Earlier this year, the Mail revealed the US Federal Trade Commission (FTC) had launched a lawsuit against the men.

In its 14-page complaint, the FTC accused Mr Bush, Mr Varley and Mr White of being "unjustly enriched as a result of their unlawful practices".

Now the men have hired one of American's best-known attorneys in marketing law to challenge the FTC's right to bring the men to court.

Sheldon Lustigman, who has 40 years' experience in regulatory and marketing law, has filed a motion to dismiss the case in New York and the case is expected to be heard early in the new year.

Mr Lustigman told the Mail: "We have filed a motion to dismiss based on jurisdictional concerns the defendants are not properly present in New York to require them to appear here."

He said, if his motion was denied, the directors would base their defence on a claim the advertising was truthful.

Mr Lustigman said: "We intend to defend the case on the merits - we will urge that the advertising truthfully described the merits of the products and that there was adequate substantiation for the claims.

"Moreover, the company always honoured its money- back guarantee of satisfaction so no dissatisfied consumer lost any money."

A Mail investigation discovered Mr Varley was fined £4,000 and another man, Anthony Green, £10,000, after they admitted four breaches of the Trades Description Act at Brough Magistrates' Court in 1996. That case involved a slimming product known as Citra-Slim Natural Weight Loss Capsules.

But Mr Lustigman, who has offices in New York and New Jersey, supported the businessmen.

He said: "I have known the individual defendants for many years and believe them to be honourable men of the highest calibre."

a.coggan@hdmp.co.uk