Google, TikTok Ban Telehealth Firm's Ads For ADHD Medication Following Federal Crackdown

Alphabet Inc’s GOOG GOOGL Google and TikTok have banned Done Global from advertising on their platforms amid a widening federal crackdown on the telehealth company’s distribution of Adderall and other stimulants.

Adderall is the most commonly used to treat attention deficit hyperactivity disorder (ADHD).

The Justice Department recently announced charges against five more individuals in connection with an alleged conspiracy at Done to illegally distribute Adderall and other controlled substances for ADHD treatment.

This move follows inquiries by The Wall Street Journal and comes almost two years after Done lost a required third-party certification to advertise on these platforms.

These charges follow the earlier arrests of Done’s founder, Ruthia He, and senior doctor, David Brody, on fraud, conspiracy, and obstruction charges. While He has yet to enter a plea, Brody has pleaded not guilty.

The Justice Department began investigating Done’s prescribing practices in 2022 after reports surfaced that some clinicians felt pressured to prescribe stimulants.

Despite losing its certification from LegitScript in November 2022, Done continued spending heavily on online ads, about $20 million on Google Ads and about $3 million on TikTok ads, the Wall Street Journal reported. This ad spending helped Done increase the number of people receiving prescriptions to about 57,000 monthly.

When questioned recently, Google and TikTok announced they would ban Done ads until the company regained its certification. Meta, which also requires LegitScript certification, allows Done to run ads promoting services, not prescription drugs. Done has spent around $7 million on Meta ads since November 2022. A LegitScript spokesperson declined to comment on Done’s situation.

The case against Done Global and its associates highlights the complexities and risks associated with the telehealth industry, particularly in the regulation and prescription of controlled substances.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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