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Published: August 28, 2008
CINCINNATI - A business owner convicted of defrauding customers seeking male sexual enhancement products and a variety of herbal supplements was sentenced Wednesday to 25 years in prison.
Steve Warshak, 42, founder of Berkeley Premium Nutraceuticals, also was ordered to pay $93,000 in fines. He was convicted in February on 93 counts of conspiracy, fraud and money laundering.
Federal prosecutors accused the company of bilking customers out of more than $400 million with deceptive ads, manipulated credit card transactions and refusal to accept returns or cancel orders.
U.S. District Judge S. Arthur Spiegel ordered Warshak, his mother, the company and another defendant to forfeit more than $500 million, including whatever was available from bank accounts, cars and homes, a grand piano and a membership in a California spa.
Berkeley distributes various products claiming to boost energy, manage weight, reduce memory loss and aid sleep. The company's main product, Enzyte, promises sexual enhancement.
Spiegel said one aspect of the fraud relied on the reluctance of customers to come forward, which would mean admitting they ordered the sexual enhancement pills.
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