PRGI Group, Inc., Referred To Federal Trade Commission

New York, NY – July 6, 2006 – The Electronic Retailing Self-Regulation Program (ERSP), announced that it will refer direct response advertising disseminated by PRGI Group, Inc., marketers of the supplement Phenterprin HCL, to the Federal Trade Commission (“FTC”). The truth and accuracy of the marketer’s claims came to the attention of ERSP through its monitoring program.

The core claims that were the subject of ERSP’s inquiry included: performance claims (i.e., “It can help considerably overweight people lose weight and keep it off.”; “PHENTERPRIN HCL is an extremely powerful pharmaceutical-grade appetite suppressant for the significantly overweight that works with your body to make you feel less hungry while giving you more energy.”; “The nice part about the PHENTERPRIN HCL program is that it doesn’t involve a complicated diet”; “Increasing lean muscle mass to total body mass; Improving athletic performance…” and “Additionally, research shows …which means that PHENTERPRIN HCL increases the metabolic rate.”); testimonial claims (i.e., “I didn’t have to change my lifestyle I just lost the weight.”; “The fat just comes right off.”; “To be able to get through a week and step on a scale again and to see 15lbs come off…” and “I saw immediate results.”) and safety claims (i.e.,“It’s medical, not a miracle.”).

Pursuant to the ERSP Procedures, after failing to substantively respond to ERSP’s original inquiry within fifteen calendar days, the direct response marketer was afforded a second ten-day period in which to submit a substantive response. The marketer again failed to submit a written response to the inquiry and pursuant to section 2.6 (B) of the ERSP Policies and Procedures, this matter has been referred to the FTC.