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Germantown Man Pleads Guilty To Tax Evasion in Online Supplement Scheme

DOJ: Operator of online drug company sold drugs that weren’t approved for human use

A Germantown man has pleaded guilty to evading taxes on income he earned from the online sale of misbranded drugs, bodybuilding and performance-enhancing supplements that were not approved for human use by the U.S. Food and Drug Administration.

David Kirkham, 41, faces a maximum sentence of five years in prison and a $100,000 fine. He must also must pay the IRS $280,541 for the tax years 2003 through 2006.

According to the plea, those were the years that Kirkham ran a web-based business called Lion Nutrition, which sold drugs that he bought from China.  He purchased a similar business called Solid Muscle in 2006.

The drugs sold online were billed as bodybuilding and performance enhancing supplements but they were misbranded and contained ingredients—including a human growth hormone peptide—that were not approved for personal or human use by the FDA, according to the plea.

U.S. District Judge J. Frederick Motz has scheduled sentencing for 10 a.m. June 21.

Bob Knoll April 16, 2013 at 01:23 PM
Uh seriously?!
LeszX April 16, 2013 at 01:46 PM
Yes, for sure, Bob. What benefit is there from this kind of prosecution? I would be interested in your reasons.
Beth April 16, 2013 at 02:14 PM
LexzX: Reason #1: "Too bad he got caught." - Obviously even you know he was in the wrong. Reason #2: Your illogic is merely protagonistic. Customers have a right to assume that products billed as consumables have the proper approval for sale as such, UNLESS ADEQUATE DISCLAIMER IS MADE IN THE MARKETING AND PRODUCT LABELING. As to the benefits, have you ever heard of "consumer protection"? Seriously, to what end are you pursuing this argument - or are you David Kirkham? Please crawl back under the rock from which you emerged.
LeszX April 16, 2013 at 02:57 PM
"Got caught" - does not imply guilt, legal or moral. There is nothing in the story that would indicate that Mr. Kirkham deceived his customers as to what he was selling. If he was, then yes, that would be wrong. But the only thing I saw was that he was "misbranding" per government regulation. If Mr. Kirkham's customers knew what they were buying, then I don't see what proper role the government has in interfering with these private transactions.
jnrentz1 April 16, 2013 at 04:17 PM
Beth, In your response, you were doing well until you added a low class, gratuitous insult, "Please crawl back under the rock from which you emerged." Why is it so many people feel compelled to name call, label and insult? Your remark significantly detracts from the spirit of debate and discussion and does not belong here in any way shape or form.

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