A federal grand jury in San Francisco has returned an indictment charging California-based Done Global Inc. with its alleged role in a yearslong scheme to illegally distribute Adderall through online prescriptions, commit healthcare fraud, and obstruct justice.
A Florida medical practice, Mindful Mental Wellness P.A., was also charged in connection with its alleged participation.
"IRS Criminal Investigation special agents are specially equipped to follow the complex financial trail left by criminals, and we are dedicated to holding those accountable for crimes committed," said Harry T. Chavis, special agent in charge of IRS Criminal Investigation New York. "This was a brazen scheme of staggering proportions while also putting individual lives at risk."
"As alleged, Done Global used lies and deceit to carry out a sophisticated telehealth fraud scheme, obtaining over $100 million in the process," said Matthew R. Galeotti, acting assistant attorney general in the Department of Justice's Criminal Division. "From feeding addiction to stealing public funds, rampant health care fraud victimizes our citizens and must be stopped."
According to court documents, Done Global marketed itself as a digital health company offering diagnosis, treatment, and prescription refills for attention deficit hyperactivity disorder through monthly subscriptions.
Prosecutors allege that Done Global and Mindful Mental Wellness conspired to provide easy access to Adderall and other stimulants without legitimate medical purpose in order to increase subscription revenue and company value.
The indictment alleges the companies arranged for the prescription of more than 40 million Adderall and other stimulant pills and generated more than $100 million in revenue.
Prosecutors say prescriptions were written without proper medical oversight and were submitted to pharmacies and insurers under false pretenses.
Done Global and Mindful Mental Wellness are also accused of defrauding Medicare, Medicaid, and commercial insurers by concealing that the prescriptions were unlawful.
By 2023, some pharmacies allegedly stopped filling prescriptions tied to Done Global, prompting the creation of Mindful Mental Wellness to bypass those restrictions.
Prosecutors further allege Done Global conspired to alter, destroy, and conceal records after receiving a grand jury subpoena.
The company's founder and chief executive officer, Ruthia He, and former clinical president David Brody were previously convicted on charges including conspiracy to distribute controlled substances, distribution of controlled substances, healthcare fraud, and obstruction of justice.
Done Global faces charges including conspiracy to illegally distribute Adderall, multiple counts of illegal distribution, conspiracy to commit healthcare fraud, and conspiracy to obstruct justice.
If convicted, the company could face penalties including fines tied to gross profits or losses. Mindful Mental Wellness faces similar penalties tied to illegal distribution.
Federal prosecutors said the Department of Justice Health Care Fraud Strike Force Program has charged more than 5,800 defendants since 2007, involving more than $30 billion in alleged fraudulent billings to federal health programs and private insurers.
Jim Mishler ✉
Jim Mishler, a seasoned reporter, anchor and news director, has decades of experience covering crime, politics and environmental issues.
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