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You might’ve read my intro research post on Nutra Pharma Corp. (NPHC) talking about this $190 million company has ZERO cash, how their exclusive marketer and distributor for their “breakthrough pain reliever” made from Cobra venom, Xenacare Holdings Inc. (XCHO), has ZERO cash (how much marketing and distribution does ZERO cash buy?) or about how TIMalert subscribers and I made $10,000+ in trading profits short selling Emergent Health Corp (EMGE) (before the SEC halted it!)
Well, I put in a few more hours worth of research last night because once I got a whiff of this carcass company, I couldn’t help but search around some more…here’s what I found:
NPHC’s CEO Rik Deitsch has NEVER talked about pain relievers until just last month…before that he was chief guru behind the creations over at the MLM Waiora (the vast majority of MLMs aka multi-level marketing companies are frauds, scams, and have tons of complaints…as a rule MLMs are incredibly sketchy businesses run by incredibly sketchy people) where he tried to get everyone to believe that zeolites can cure cancer…looks like I’m not the only one to have problems with this guy (although it is impressive to spend $500,000/quarter and have ZERO cash and $8,000 in revenues):
The leading marketer of zeolite supplements is Waiora, a multi-level marketing firm that produces Natural Cellular Defense. Most of the individual web sites I found advertising zeolite supplements are part of the Waiora pyramid. The chairman of the Waiora Scientific Advisory Board that oversees the research and development of NCD and other products is Rik J. Dietsch. Dietsch is the go-to guy for questions about the efficacy and mechanisms of action of NCD. He’s cited as an authority on numerous websites (often with his title as scientific chairman), there are numerous videos and transcripts of him lecturing and answering questions about the science behind the zeolite supplement, and when some skeptic doctor blogs something negative about zeolite therapy, he’s ready with a reasoned and scientific response to their objections. But whenever his scientific credentials come up, things get a little vague:
“Research conducted by Rik J Deitsch provided some of the beginning fundamentals for the development of some powerful new drugs.”
“Mr. Deitsch holds both a BS in Chemistry and an MS in Biochemistry from Florida Atlantic University and has conducted research for the Duke University Medical School Comprehensive Cancer Center.”
“Mr Deitsch is an adjunct professor and teaches several courses for Florida Atlantic University’s College of Business and Continuing Education Department.”
“[Mr Deitsch] conducted his PhD Research for the Duke University Medical School.”
“For?” the Duke University Medical School? “For?” That’s just slimy. Read it fast and you might actually think he “had” a PhD for research he had done “at” Duke. But of course he doesn’t – otherwise, you better believe that he’d be going by Dr. Deitsch, Chief Scientific advisor for Waiora, CEO of Nutra Pharma Corp, and President of Wellness Industries.
The central piece of evidence cited by many of the Waiora sites marketing zeolite supplements is the “Scientific Research Monograph” authored by Dietsch. Now, I think this document is, in a word, awesome – not because it’s an immaculate synthesis of a diverse body of evidence, nor because it is an eloquently framed argument for the efficacy of zeolite supplements – no, I am literally awestruck because it is such an incredible example of how any hack with a basic familiarity of scientific style can produce a document that, to a lay reader, may have all the appearance of scientific credibility and may actually give an air of authority to the author. And yes, speaking of the author’s authority, I have to admit: I am also astounded at the fucking massive cojones this guy has for putting his name on this document.
At first glance, the monograph appears to be a fair attempt to lay out the evidence for the efficacy of zeolite supplements. Dietsch is up front about the fact that he will focus only on the properties of zeolites that are “relevant to its effects as a supplement”. He states “the information presented in this monograph is intended for professional education and is obtained from published research, articles, and books,” and he refers to the monograph as “this Review.” Like a typical scientific review, there’s an introduction at the beginning, a list of references at the end, and in between, the evidence for the efficacy of zeolite supplements in a number of different areas is evaluated. The tone of the writing is relatively sophisticated, and some of the evidence Dietsch presents – for example, the effect of zeolites on the molecular pathways involved in apoptosis or cell death – seems worth considering.
Nonetheless, there’s something a little “off.” Dietsch’s scientific credentials are missing from his bio at the beginning, none of the figures have captions, and most strikingly, despite the list of references, none of the information in the article is specifically footnoted. This would be questionable enough, but what no-one else seems to have noticed about this document is that the figures and most of the substantive paragraphs appear to have been copied wholesale from a handful of books and journal articles; an astonishing level of plagiarism for a high-school book report, much less a “scientific research monograph” authored by the chief scientific advisor for the leading producer of a widely-marketed dietary supplement. Given the fact that he’s ripped off, word-for-word, most of the content of the monograph, the absolute best part about it for me is the copyright notice on the first page stating that “No part of this publication may be reproduced in any form without permission from the author.” You can look at some examples of Dietsch’s plagiarism in this PDF, which places the monograph text side-by-side with the text from the uncited articles.
Yup, Dietsch was accused of plagiarism, but he responds by saying it “was for the internal use and education of Waiora staff.”….faire enough, right, but Dietsch goes on to incriminate this dangerous paper by saying “The FTC stated that the article may be making implied drug claims on a dietary supplement. Because of their comments, the Monograph has been completely removed from circulation.”
The interviewer acknowledges the FTC smacked down Dietsch’s internal paper “…the FTC has prohibited you from directly disseminating the paper because of the claims it made for NCD.” (Doh!)
MLMs are sketchy to begin with, but why oh why is NPHC’s address the EXACT same as the MLM Waiora?
Waiora USA, Inc.
791 Park of Commerce Blvd., Suite 300, Boca Raton, FL, 33487, United States
Nutra Pharma Corp.
791 Park Of Commerce Blvd
Suite 300
Boca Raton, FL 33487
Or if we’re to believe the Yahoo! Finance listed address:
1537 NW 65th Ave
Plantation, FL 33313
Which unfortunately for NPHC looks like this:
Just wait, it gets better…besides CEE Rik, fellow NPHC boardmember Dr. Stewart Lonky, MD appears in the video below talking about “Invisible Killers”, a book which they co-authored about harmful environmental toxins
Wow, so now besides having ZERO cash, $8,000 in revenues, $500,000 in quarterly expenses, an incredible $10,000 in quarterly research and development, CEO plagiarism charges, FTC rebukes, volcanic cancer cures, sharing the same EXACT address as a sketchy MLM, NPHC’s CEO and boardmember are “experts” on environmental toxins….ALL HAVE NOTHING TO DO WITH WHAT THIS COMPANY HAS BEEN HYPING THEIR STOCK UP 2,000% WITH: COBRA VENOM THAT ACTS A PAIN RELIEVER.
Watch the video and laugh:
But the real cherry on top is the resignation of Stanley J. Cherelstein one month before this 2,000% stock price increase occurred
“On July 28, 2009, Stanley J. Cherelstein, our Director since September 28, 2004, resigned as a Director of our Board of Directors. Mr. Cherelstein was also Chairman of our Audit and Compensation Committees from November 5, 2004 until his Director resignation on July 28, 2009.”
Good ‘ole Stan Cherelstein is president & CEO of the MLM Waiora and has a rather colorful past full of embezzlement charges & FTC false advertising:
He was controller for Phar-mor during a period when the company embezzled hundreds of millions of dollars and was subsequently sued by investors. He was subsequently a high-ranking executive at both of the nutritional supplement companies Rexall Showcase International (a division of Rexall Sundown) and Unicity. Rexall Sundown was sued in 2000 by the FTC for false advertising, but it’s not clear if Cherelstein was involved. (hmmm, FTC rebuke for false advertising, I know I heard that somehwere else in this story, hmmmmmmmm, LOL)
Why did Cherelstein resign just before the big stock spike? Maybe the pumpers didn’t want someone on board with such a blatantly checkered past? Weird, it’s not like he’s very far away, I mean NPHC and Waiora do still share the same address! LOL…sooooo sketchy, I love it!
NPHC stinks and so do its boardmembers and former boardmembers. GVBP had the same address as its partners befor ethe SEC halted it, just like NPHC does with Waiora and if that isn’t their address, you see that picture of the scummy little door that screams “boiler room pump & dump”. Just like that other SEC halted pump & dump NPHC’s CEO has a very shady past…they may very well be ale to hype their stock over $1/share (I give it a 50/50 shot), but I’ll be looking to either hedge or add to my small 10,000 share short position because no way in hell is this thing worth $190 million and an SEC halt or a typical intraday penny stock 50%+ collapse is very possible.
This was all found with just a few hours of research, the process which I teach in my TIMfundamentals DVD
You’re getting a taste of what kind of hardcore research on nasty penny stocks is possible and when my new site PennyStocking.com launches in the next few weeks, I’m gonna have a special list for those who want these kinds of research reports. So if you want on that list, contact me ASAP, it’ll be a limited list for only people who really wanna know about the skeletons in the closet.
Tags: Criminals, Manipulation
