Metabolife and its founder Michael Ellis were charged with six counts of making false statements and two counts of trying to obstruct the FDA's attempt to regulate supplements containing ephedra. The herbal stimulant, which has been linked to numerous deaths, has recently been banned by the FDA.

According to federal prosecutors, Ellis lied when he told the FDA in 1998 and 1999 that the company had "never received one notice from a consumer that any serious adverse health event has occurred because of the ingestion of Metabolife 356." Ellis also told the FDA that Metabolife 356 had a "claims-free history."

Steve Mansfield, the attorney for the company, said the statements were taken out of context. "The government has concocted a hypertechnical violation," he said.

The Internal Revenue Service, which is leading the investigation of Metabolife, raided the company's headquarters in July 2002.

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