[Federal Register Volume 63, Number 13 (Wednesday, January 21, 1998)]
[Notices]
[Page 3128]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-1361]


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FEDERAL TRADE COMMISSION

[File No. 942-3278]


Roger J. Callahan; Analysis To Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices or unfair methods of competition. The attached Analysis to 
Aid Public Comment describes both the allegations in the draft 
complaint that accompanies the consent agreement and the terms of the 
consent order--embodied in the consent agreement--that would settle 
these allegations.

DATES: Comments must be received on or before March 23, 1998.

ADDRESSES: Comments should be directed to: FTC/Office of the Secretary, 
Room 159, 6th St. and Pa. Ave., N.W., Washington, D.C. 20580.

FOR FURTHER INFORMATION CONTACT: C. Steven Baker or Russell W. Damtoft, 
Federal Trade Commission, Chicago Regional Office, 55 East Monroe St., 
Suite 1860, Chicago, IL 60603, (312) 353-8156.

SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal 
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and Section 2.34 of 
the Commission's Rules of Practice (16 CFR 2.34), notice is hereby 
given that the above-captioned consent agreement containing a consent 
order to cease and desist, having been filed with and accepted, subject 
to final approval, by the Commission, has been placed on the public 
record for a period of sixty (60) days. The following Analysis to Aid 
Public Comment describes the terms of the consent agreement, and the 
allegations in the complaint. An electronic copy of the full text of 
the consent agreement package can be obtained from the FTC Home Page 
(for January 13, 1998), on the World Wide Web, at ``<a href="http://www.ftc.gov/
os/actions/htm">http://www.ftc.gov/
os/actions/htm</a>.'' A paper copy can be obtained from the FTC Public 
Reference Room, Room H-130, Sixth Street and Pennsylvania Avenue, N.W., 
Washington, D.C. 20580, either in person or by calling (202) 326-3627. 
Public comment is invited. Such comments or views will be considered by 
the Commission and will be available for inspection and copying at its 
principal office in accordance with Section 4.9(b)(6)(ii) of the 
Commission's Rules of Practice (16 CFR 4.9(b)(6)(ii)).

Analysis of Proposed Consent Order To Aid Public Comment

    The Federal Trade Commission has accepted an agreement, subject to 
final approval, to a proposed consent order from respondent Roger J. 
Callahan.
    The proposed consent order has been placed on the public record for 
sixty (60) days for reception of comments by interested persons. 
Comments received during this period will become part of the public 
record. After sixty (60) days, the Commission will again review the 
agreement and the comments received and will decide whether it should 
withdraw from the agreement and take other appropriate action or make 
final the agreement's proposed order.
    This matter concerns efficacy claims made regarding Dr. Callahan's 
Addiction Breaking System promoted by respondent. The Commission's 
complaint charges that respondent, in concert with Mega Systems, Inc., 
made false and unsubstantiated claims that Dr. Callahan's Addiction 
Breaking System (1) Reduces an individual's compulsive desire to eat, 
leading to significant weight loss, (2) reduces an individual's 
compulsive desire to eat, leading to significant weight loss without 
the need to diet or exercise, and (3) cures addictions and compulsions, 
including but not limited to, smoking, eating, and using alcohol or 
heroin.
    The proposed consent order contains provisions designed to remedy 
the violations charged and to prevent the respondent from engaging in 
similar acts and practices in the future. The proposed order extends to 
any weight loss product or program or any product or program purported 
to treat addictions or compulsions.
    Part I of the proposed consent order prohibits the respondent from 
representing that Dr. Callahan's Addiction Breaking System, or any 
substantially similar product or program purported to treat addictions 
or compulsions, (1) reduces an individual's compulsive desire to eat, 
leading to significant weight loss, (2) reduces an individual's 
compulsive desire to eat, leading to significant weight loss without 
the need to diet or exercise, or (3) cures addictions and compulsions, 
including but not limited to, smoking, eating, and using alcohol or 
heroin. Part II of the proposed order prohibits the respondent from 
representing the performance, benefits, or efficacy of any weight loss 
product or program or any product or program purported to treat 
addictions or compulsions, unless the representation is substantiated. 
Part III of the proposed order requires the respondent to pay fifty 
thousand dollars into a redress fund.
    The remaining parts of the proposed consent order require the 
respondent to maintain promotional and substantiation materials related 
to the claims covered by the order, to notify the Commission of any 
changes in his employment, and to file one or more compliance reports.
    The purpose of this analysis is to facilitate public comment on the 
proposed consent order. It is not intended to constitute an official 
interpretation of the agreement and proposed order or to modify in any 
way their terms.
Donald S. Clark,
Secretary.
[FR Doc. 98-1361 Filed 1-20-98; 8:45 am]
BILLING CODE 6750-01-M