Companies placed into compulsory liquidation and health fraudsters banned following investigation
Nine health supplement companies have been wound up in the past two years after they were found to have mis-sold products to elderly and vulnerable victims.
The report was published this week to coincide with Scams Awareness Month.
The Insolvency Service estimates that some 36,000 people have fallen victim to health supplement scams, costing around £10.6 million.
According to the report, these companies will often deploy aggressive sales tactics, including cold calling, as well as giving out false medical advice.
Another now-insolvent company purchased data lists containing details of people over the age of 65 with health concerns for arthritis and joint pain to make unsolicited phone calls.
The Insolvency Service said these callers often claimed to be ringing on behalf of doctors or other unqualified health professionals while offering unregulated advice.
The two companies responsible, Greenlife Wellness Limited and Naturecare Wellness Limited, were both put into compulsory liquidation in October 2017 following a petition presented by the Secretary of State. The bosses of these companies were also banned from acting as directors for a period of 14 years.
Consumer Minister Andrew Griffiths MP said: “These shocking supplement scams are targeting thousands of the most vulnerable people in our society. The Insolvency Service is playing a vital role in protecting consumers and cracking down on these cowboy firms.
“During Scams Awareness Month I am encouraging anyone who has fallen foul of these scams to speak up and report it, so we can stamp them out for good.”