Re: Open Letter Matthias Rath

[Guest guest]

I really understand this completely. Several years back Rexall came up with

a multi-level marketing skeem to sell homeopathic combination remedies.

They had no idea what homeopathy was. Many of the combinations that were

manufactured actually had several remedies that antedoted each other, and

therefore would be non-existant in the remedy itself.

From: " Shirley Dapper " <momsy@...>

>

>

> OPEN LETTER BY MATTHIAS RATH, M.D.

> The American People Ask:

> GNC, Rexall/Sundown, Numico

> Are You Spreading Fraud

> And Deceit?

>

> Matthias Rath, M.D. is the physician and scientist who first made public

> the background of fraud and deception associated with Rexall-Sundown.

>

> This Open Letter is written by Dr. Rath as a public service.

>

> Millions of Americans have bought vitamins from Rexall/Sundown and

> General Nutrition Centers (GNC) or their new parent company Numico. They

> may be shocked to learn that this group of companies is infested with

> disreputable executives, some of whom have criminal backgrounds.

> As the physician and scientist who helped uncover their unsavory

> criminal background, I am alerting the American people and the US

> Government about these facts.

>

> To review the original public documents I invite everyone to see them on

> the Internet at

> http://www.health-through-integrity.org.

>

> THE FACTS:

> Every one of the one hundred million vitamin customers in America should

> know the following facts, which have already been made public:

> While it is true that " Rexall " is the name of a drugstore chain that has

> been trusted by the American people since 1903, Sundown Vitamins bought

> the " Rexall " name in 1989 with borrowed money and has nothing otherwise

> to do with that old and trusted company.

>

> · The United States Federal Trade Commission (FTC) investigated and

> filed a massive consumer fraud case against Rexall, claiming that Rexall

> defrauded the American public by marketing " Cellasene " as a cure for

> cellulite. " Cellasene, " a product consisting essentially of clover

> extract, continues to be marketed and sold across America and is also

> being exported to other countries. The United States government has

> demanded that Rexall repay " ill gotten gains " from hundreds of millions

> of dollars in sales. The full text of the complaint by the United States

> government can be obtained at

> http://www.ftc.gov/os/2000/07/rexalcmp.htm.

>

> · A Racketeer Influenced and Corrupt Organization (RICO) suit was filed

> in United States Federal Court against the DeSantis family and Rexall,

> alleging a pattern of defrauding business suppliers and stealing their

> products, formulas and ideas. Rexall and the DeSantis family settled the

> case for several hundred thousand dollars.

>

> · A Florida state court recently directed Rexall to sign a Freedom of

> Information Act (FOIA) authorization form to permit examination of the

> FBI files on Rexall (Circuit Court, Palm Beach, Florida, Case No. CL

> 96-7754-AE). However, Rexall refused and appealed the order, which begs

> the question: What is Rexall hiding, and why?

>

> · Recently, Numico, a publicly traded Dutch company, acquired

> Florida-based Rexall-Sundown for 1.84 billion dollars. In 1999 Numico

> bought General Nutrition Centers and its vitamin products that are sold

> through thousands of GNC Stores to millions of unsuspecting customers

> across America.

>

> · In announcing the acquisition of Rexall/Sundown, Numico declared that

> it is one of " the most successful and well respected network marketing

> companies. " However, the facts of this letter speak for themselves. The

> merger of Rexall, GNC and Numico is a perfect cover for Rexall and its

> executives to continue their unlawful business practices under cover of

> a new corporate identity.

> Are millions of vitamin consumers aware of Rexall's background? Are

> millions of Americans aware that through the Rexall/GNC/Numico

> consortium there is a real danger of fraud and deception being brought

> into almost every home in America?

>

> · According to the records of Rexall's acquisition by Numico, Rexall's

> Carl DeSantis, the head of the " family " ; the " family heir " Damon

> DeSantis; other family members, and their related companies owned shares

> of Rexall worth more than 900 million dollars. With nearly two billion

> dollars borrowed from Dutch ABN Amro Bank, Deutsche Bank and other

> banks, Numico paid almost one billion dollars for the stock owned by

> this " family " and their background organizations. Carl DeSantis

> continues as " advisor " to GNC/Numico/Rexall receiving a bonus and salary

> package of more than one million dollars.

>

> · Despite these facts, Damon DeSantis is still President and CEO of

> Rexall/Sundown and has recently been appointed to the North American

> Executive Committee of GNC/Rexall/ Numico, receiving a bonus and salary

> package of more than two million dollars. Another member of this famous

> GNC/Rexall/Numico " Executive Committee " is the President and CEO of

> General Nutrition Centers, E. Watts.

>

> The background of the list of Rexall's corporate executives and advisors

> reads like a page from the worst chapters of American corporate

> history:

>

> · Carl DeSantis, a former store manager for Walgreen's, obtained several

> million dollars in 1989 to buy the name " Rexall " . When asked under oath

> during a recent deposition from whom he received the millions of dollars

> to acquire the cover name " Rexall " Carl stated: " I don't remember. "

> To review the original public documents I invite everyone to see them on

> the Internet at

> http://www.health-through-integrity.org.

>

> · Carl DeSantis was named in sworn testimony in both Federal and Florida

> state court proceedings as " The Chief " and " Capo di Capi " ( " Boss of

> Bosses " , a title customarily given to the head of an organized crime

> family or group of organized crime families). In these court proceedings,

> a former business associate of Carl DeSantis testified that Carl DeSantis

> was described as " a Heavy, who no one crosses without consequences " .

>

> · The same business associate testified that he was threatened by a

> longtime cohort, business associate and close friend of Carl DeSantis,

> in the following words: " You're dead, I'm going to have you

> assassinated,... no one ever f*ks with me. You're dead and Carl DeSantis

> will finance it. " After that former business associate filed a federal

> lawsuit and testified against Rexall, Carl DeSantis and Damon DeSantis,

> the lawsuit was settled, with Rexall, Carl DeSantis and Damon DeSantis

> paying the business associate several hundred thousand dollars.

>

> · Perri, a convicted felon, has used at least 4 different names

> and Social Security numbers, as shown by his public criminal record. He

> was convicted of the attempted murder of a Florida police officer and

> subsequently arrested for other drug and violent crimes, and was later

> convicted of assault and battery. According to sworn testimony, Carl

> DeSantis offered Perri a job as a consultant and " motivator " for

> Rexall.

>

> · A Florida court has recently directed Perri to sign an

> authorization and release form (Freedom of Information Act, FOIA) to

> permit examination of his FBI files. Perri refused and has

> appealed the order.

>

> · What is Perri hiding and why? Are the customers of GNC and the vitamin

> consumers in America aware of Perri's background? Neither Rexall nor the

> GNC/Rexall/Numico consortium have taken any steps to clear the past of

> this former " consultant " .

>

> · Nick Palin, a recent Senior Executive Vice- President of

> Rexall-Sundown, received several million dollars for selling his

> Rexall-Sundown stock to Numico. He now has a two million dollar

> consulting contract with GNC/Rexall/Numico.

>

> · Palin was formerly employed by the Organized Crime Section of the New

> York Police Department. His is the only known case where an undercover

> agent moved - under false identity - to become Executive Vice-President

> of Rexall, a company that was publicly traded on the NASDAQ Stock

> Exchange until recently.

>

> · Court records show that when Palin arrived to testify in a Florida

> State court proceeding at a Florida law office in April 2000, he was

> carrying a concealed gun. At first, the Rexall executive lied about

> being armed and then finally admitted that he had brought a gun with

> him. His interrogation had to be continued under security.

> To review the original public documents I invite everyone to see them on

> the Internet at

> http://www.health-through-integrity.org.

>

> · In Florida federal and state court proceedings, in sworn testimony,

> Palin has been referred to as " the enforcer. " (US District Court,

> Southern District of Florida, Case No. 93-6584-CIV).

>

> · Court records also show that Palin repeatedly lied under oath about

> his background, his associates and even his name.

>

> · Finally, Palin was served with two court orders, one demanding that he

> disclose his NYPD badge/ shield number and registry number and the other

> that he sign an authorization form to permit examination of any files

> that the New York Police Department and the FBI may maintain on Nickolas

> Palin. Palin refused, appealed the order and is now facing contempt

> charges in the Florida court. In an affidavit filed in a Florida state

> court, Palin recanted and admitted that he has lied about his name and

> identity.

>

> · What is Palin hiding and why? Are the GNC/Rexall/Numico executives

> fully aware of the past of Palin? As long as Palin continues as their

> " consultant " they are responsible for what is now happening. Above all,

> what are the American people saying about this?

>

> · Randy Schroeder, the lead distributor of Rexall's

> multi-level-marketing operation, Rexall Showcase International (RSI),

> earns millions of dollars a year. The Los Angeles Times has reported

> that Schroeder, a former broker, was implicated in a Mexican drug cartel

> narcotic smuggling and money laundering operation with a Tijuana boxing

> promoter. Schroeder allegedly escaped indictment by becoming a

> prosecution witness. Schroeder is barred for life from trading on the

> New York Stock Exchange.

>

> · In 1992 Carl DeSantis founded Rexall Showcase International, Rexall's

> network marketing division. Despite Randy Schroeder's drug-smuggling and

> money laundering record,Carl DeSantis hired Schroeder and he was

> presented to the press as their top distributor.

>

> · Rexall's multi-level marketing operation is still in business and has

> just announced ambitious plans for international expansion - with

> Schroeder as the top distributor and motivator. Schroeder controls a

> down line of thousands of distributors, many of whom are totally unaware

> of Schroeder's background.

> Do the GNC/Rexall/Numico executives know about these facts? If so, why

> are they hiding it? If not, why didn't they perform due diligence before

> associating with Rexall? What do the shareholders of GNC and Numico say

> after having invested their money in these companies in good faith?

> Millions of American consumers do not want their money to be controlled

> by drug smugglers and money launderers. What do they say?

>

> · Stanley Cherelstein, a former controller for Phar-Mor, the infamous

> and notorious Billion Dollar fraud, has been appointed by

> Numico/Nutricia as the President of Rexall Showcase International (RSI).

>

> · Phar-Mor was one of the largest frauds in American corporate history.

> The official report of the U.S. Federal Court-appointed bankruptcy

> examiner, Jay Alix states that Cherelstein not only knew about the

> PharMor fraud, but participated in the preparation of fraudulent

> financial records and personally profited from the fraud.

>

> · Cherelstein and his accomplices kept a second set of books to which

> they even assigned the strikingly accurate code name " cookie. " Their

> purpose was to deceive investors and defraud them in the magnitude of

> more than one billion dollars.

>

> · In 1995, following reports about underreported royalties, Carl

> DeSantis hired Cherelstein and promoted him directly to the top position

> as Financial Controller of Rexall/RSI.

>

> · In July 2000, Cherlstein was promoted even further by the

> GNC/Rexall/Numico Executive Board to the position of Chief Operative

> Officer and President of Rexall/GNC/Numico's network marketing operation

> Rexall Showcase International.

>

> · McKillip. In 1996, Barrons, the official Dow Financial

> Weekly, reported that " Another executive who came out of a rotten

> business is Rexall Showcase International's vice president of sales and

> marketing, McKillip " , who was the Executive Director of Fund

> America which was charged with conducting an illegal pyramid scheme and

> defrauding 10,000 Florida Residents of 8.2 Million Dollars and in

> practicing unfair and deceptive trade practices. Fund America pled " No

> Contest " to third degree felony charges.

> To review the original public documents I invite everyone to see them on

> the Internet at

> http://www.health-through-integrity.org.

>

> · The Attorney General of the State of Florida has received numerous

> consumer complaints alleging that Rexall Showcase International is an

> illegal pyramid scheme. His office is conducting an ongoing

> investigation, having subpoenaed thousands of documents and records and

> having taken the sworn testimony of numerous witnesses, including multi

> level distributors.

>

> · Shareholders have filed several class-action lawsuits against Rexall,

> Carl Desantis and other Rexall managers for insider trading and illegal

> inflation of their stock price. The complaint alleges that Carl DeSantis

> and his assocates took more than 35 million in illegal proceeds at the

> expense of other Rexall shareholders.

>

> · Rexall has been sued in two separate RICO complaints, both settled out

> of court. A RICO complaint is a special form of litigation dealing with

> " Racketeer Influenced and Corrupt Organizations. "

> To review the original public documents I invite everyone to see them on

> the Internet at

> http://www.health-through-integrity.org.

>

> MY PERSONAL EXPERIENCE:

> I am alerting the American public because of my personal experience with

> Rexall-Sundown. Like the entire USA public, I was misled by the name

> " Rexall " - with its long tradition in America. When I was approached by

> Rexall in 1994 to give a scientific presentation, no one knew that this

> company was infested with disreputable and unsavory characters at high

> executive levels.

>

> As a scientist, doctor and owner of a research and development firm, I

> developed several health products for this company - unaware of the

> background of these executives. These products include patented

> therapies for the natural reversal of heart disease without surgery (US

> patent number 5,278,189). Before long, these natural health formulas

> became leading products of Rexall and RSI.

>

> When I learned of the background of Rexall in 1996, I immediately

> disassociated myself from this company and informed the FBI and other US

> authorities.

> The American people and the people of many other countries must ask the

> GNC/Rexall/ Numico consortium: " Why do you spread fraud and deception

> across America and throughout the world?

>

> As the scientist who first made the background of Rexall public, I

> consider dissemination of this information not only my duty, but also my

> moral responsibility. If I don't do that, who else will stand up against

> those forces?

>

> WHAT YOU SHOULD DO:

> · Write a letter or send an Email to the White House informing the

> President about the background of Rexall/GNC/Numico consortium and ask

> him to act upon it. The goal must be to stop fraud and deception from

> infiltrating the health care sector and thereby entering every household

> in the US and many other countries. Contact the President via Email at

> http://www.whitehouse.gov/WH/Mail/html/Mail_President.html

>

> · Write a letter or send an Email to the US Attorney General Janet Reno.

> The FBI reports about the Rexall/GNC/Numico management and associates

> must be made public immediately. The goal must be to stop those

> organizations from conducting illegal business operations under the

> umbrella of reputable companies. Send E-mail messages to the Attorney

> General at mailto:web@....

>

> · Write a letter or send an E-mail to the Federal Trade Commission to

> extend their Cellasene fraud complaint against Rexall into a full-scale

> investigation of the Rexall/GNC/Numico merger. Tell the FTC to stop any

> illegal business operations of those companies. Send your E-mail to

> mailto:uce@....

>

> · If you are a customer of GNC or Rexall/Sundown go to the store owners

> and urge them to demand an immediate public explanation from their

> companies. Tell them that their own credibility is at stake. Any

> responsible store owner will support you in this demand. The sooner the

> matter is cleared, the better it is for everyone.

>

> · Write a letter to the President and CEO of General Nutrition Centers

> (GNC), Mr. Watts. His address is 300 6th Avenue, Pittsburgh, PA

> 15222.Tell him that you don't tolerate the abuse of thousands of GNC

> stores as a cover for fraud and deception.

>

> · Write to your local newspapers and talk to your local radio and

> television stations. Urge them to investigate this matter on their own.

>

> · Talk to your friends, neighbors and colleagues about this letter. Send

> copies to them. Make sure that they all know about these facts and can

> take a firm stand on this important issue.

>

> · Above all, pass on the information about the website documenting a

> comprehensive background information:

> http://www.health-through-integrity.org.

>

> Health is a fundamental human right, and this important sector of our

> lives must never be allowed to be corrupted. The American people will

> insist upon " Health with Integrity " and will demand health without fear

> of fraud and deception.

> I trust that I have served your interest by providing this information.

>

> Yours sincerely,

>

> Matthias Rath, M.D.

>

> For more information:

> http://www.health-through-integrity.org

>

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>

> MR Publishing, Inc.