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Capsule Pill and Dots
Capsule Pill and Dots

Justice Department accuses telehealth Zealthy of fraud, says remedy may bankrupt it

The feds say they don’t think Zealthy has the liquidity to pay what it owes customers.

The Department of Justice is seeking an immediate asset freeze and receivership against telehealth startup Zealthy and its CEO, Kyle Robertson, to halt what it calls a “runaway campaign of lawbreaking.”

The DOJ says Zealthy — a privately held telehealth site that sells compounded GLP-1s, erectile dysfunction medications, and antidepressants — used the names and licenses of doctors who didn’t work there to fill thousands of prescriptions without the physicians’ knowledge or clinical supervision. Prosecutors said “it is plausible that Zealthy’s available liquidity will fall short of its exposure in this litigation.”

“Put bluntly, the consumer redress and FTC rule violation penalty amounts that Plaintiff seeks in this action may bankrupt Zealthy, rendering preservation of assets essential for consumer redress,” prosecutors said in a Monday filing.

Neither Robertson nor Zealthy immediately responded to a request for comment.

The DOJ says Zealthy also misused customer information and charged people without their consent. Customer support representatives were strictly banned from canceling accounts or even mentioning the word “cancel” unless it was brought up by the customer first, according to prosecutors.

Zealthy lost its LegitScript medical merchant certification in January 2025 after it failed to disclose the DOJ lawsuit to the standard bearer, after which major advertising platforms and payment processors dropped it. Prosecutors say the company got around this by creating shell companies to process payments.

Many customers also initiated credit card charge-backs, and the DOJ alleges that Zealthy executives used company credit cards to buy their own subscriptions, artificially diluting their transaction dispute rates to hide the problem from financial institutions.

Perhaps the most egregious allegations are that Zealthy stole doctors’ identities to fulfill prescriptions. In on example, the company allegedly ordered more than 8,000 prescriptions using the name of one doctor after he had stopped working there.

Dr. Steven McDonald, the former medical director of Zealthy, wrote in a declaration that he discovered his name was being used to prescribe medications only when a former colleague told him the office received “stacks” of insurance letters for Zealthy patients he had never treated.

The DOJ’s lawsuit was initially filed in April 2024, accusing Robertson’s previous venture, Cerebral, of making it too hard to cancel a subscription and of severe privacy breaches. Cerebral was one of several telehealth startups that began prescribing Adderall online during the pandemic, taking advantage of relaxed telehealth prescribing rules intended to help patients access prescriptions during the COVID-19 pandemic.

Robertson was ousted from Cerebral in 2022 and the company eventually paid a $2.9 million fine for unauthorized distribution of Adderall and other controlled substances. The litigation against Robertson continued and eventually extended to his new venture, Zealthy.

“Robertson’s lawbreaking is only becoming more brazen, and dangerous,” prosecutors wrote in an April 10 amended complaint.

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The Trump administration is reportedly planning a 50% made-in-America requirement for USMCA tariff relief

Qualifying for USMCA-related lower tariffs may soon require more US-made vehicle components, according to reporting by The Wall Street Journal.

The Trump administration is reportedly planning to introduce a 50% US content requirement for vehicles covered by the trade pact to receive lower tariffs. The content would be measured by cost, according to the WSJ.

There currently isn’t any US-specific requirement for those lower tariff rates, but in order to receive preferential tariffs, vehicles are must contain at least 75% regional content (components made in North America). Per Reuters reporting, the Trump admin is seeking to raise the regional requirement to 82%.

These reported plans are subject to change as the US negotiates USMCA terms with Mexico over the next few months.

Overall, Tesla will likely have the easiest time qualifying for any stricter requirements. The automaker’s vehicles contained the highest amount of US/Canadian content in 2025, according to American University research. Ford, GM, and Stellantis all scored lower.

Notably: the underlying government data that many domestic content measurements rely on intentionally combines US and Canadian components, so it’s difficult to know exactly how much of any given vehicle is specifically US-made.

There currently isn’t any US-specific requirement for those lower tariff rates, but in order to receive preferential tariffs, vehicles are must contain at least 75% regional content (components made in North America). Per Reuters reporting, the Trump admin is seeking to raise the regional requirement to 82%.

These reported plans are subject to change as the US negotiates USMCA terms with Mexico over the next few months.

Overall, Tesla will likely have the easiest time qualifying for any stricter requirements. The automaker’s vehicles contained the highest amount of US/Canadian content in 2025, according to American University research. Ford, GM, and Stellantis all scored lower.

Notably: the underlying government data that many domestic content measurements rely on intentionally combines US and Canadian components, so it’s difficult to know exactly how much of any given vehicle is specifically US-made.

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The $640,000 Luce makes the average Ferrari look like a bargain

Put aside the shape; put aside the smoothing out of Ferrari’s iconic sharp edges; put aside, even, the calls from former Chairman and President Luca Cordero di Montezemolo to “take the Prancing Horse off.” On the grounds of price alone, Luce detractors might have a point.

By now, many of us will have read the criticisms of Ferrari’s first fully electric vehicle, as the Luce — which was unveiled to the world earlier this week and promptly saw the company’s shares crash out in New York and Milan — gets subtly shaded by competitors online and not-so-subtly shaded by basically everyone else.

What makes all of this worse for Ferrari is that, even by the luxury car maker’s notoriously high standards, they’ve slapped a pretty hefty price tag on the Luce, and the company’s CEO, Benedetto Vigna, has already been forced to defend the €550,000 ($640,000) price point, saying yesterday that it’s “fair to pay for innovation,” per Reuters.

While Ferrari’s cars have been getting more expensive of late, as recently as 2022, Ferrari’s average revenue per car sold was around $340,000. At nearly twice that price, this new electric model is obviously proving a little much (visually, conceptually, and financially) for many loyal and long-standing fans of the Prancing Horse to stomach.

Ferrari Luce cost chart
Sherwood News

By now, many of us will have read the criticisms of Ferrari’s first fully electric vehicle, as the Luce — which was unveiled to the world earlier this week and promptly saw the company’s shares crash out in New York and Milan — gets subtly shaded by competitors online and not-so-subtly shaded by basically everyone else.

What makes all of this worse for Ferrari is that, even by the luxury car maker’s notoriously high standards, they’ve slapped a pretty hefty price tag on the Luce, and the company’s CEO, Benedetto Vigna, has already been forced to defend the €550,000 ($640,000) price point, saying yesterday that it’s “fair to pay for innovation,” per Reuters.

While Ferrari’s cars have been getting more expensive of late, as recently as 2022, Ferrari’s average revenue per car sold was around $340,000. At nearly twice that price, this new electric model is obviously proving a little much (visually, conceptually, and financially) for many loyal and long-standing fans of the Prancing Horse to stomach.

Ferrari Luce cost chart
Sherwood News

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