EBay to Settle DOJ's Pill Press Probe for $59 Million

By Dean Seal

EBay will pay $59 million to settle the federal government's allegations that thousands of pill presses and encapsulating machines were sold on its popular online marketplace.

The Department of Justice said Wednesday that eBay has also agreed to enhance its compliance program in order to resolve claims that the pill press and encapsulating machine sales on its platform violated the Controlled Substances Act.

The government claims that hundreds of pill press buyers on eBay also purchased counterfeit molds, stamps or dies needed to produce pills that mimic the products of legitimate pharmaceutical companies. Many of those buyers have since been prosecuted in connection with trafficking illegal counterfeit pills, the DOJ said.

According to the settlement agreement, eBay denied the federal government's contention that it is subject to the Controlled Substances Act and doesn't admit liability in connection with the allegations.

A spokesperson for eBay didn't immediately respond to a request for comment.

The Justice Department is calling the agreement its fourth-largest Controlled Substances Act settlement ever and its first with an e-commerce company.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

January 31, 2024 10:53 ET (15:53 GMT)

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