The FTC filed a complaint and obtained a temporary restraining order against six defendants operating a deceptive health care scheme that impersonated government and insurance carriers to sell fake comprehensive health plans. The defendants allegedly charged consumers without express informed consent, failed to disclose material terms including cancellation processes, and misled consumers into paying for inadequate coverage that left many with substantial medical debt. The FTC seeks refunds for affected consumers and alleges violations of the FTC Act, Telemarketing Sales Rule, Impersonation Rule, and Gramm-Leach-Bliley Act.
The U.S. District Court for the Southern District of Florida issued a temporary restraining order halting the defendants' deceptive operations. The FTC's complaint seeks refunds for consumers harmed by the scheme, and requests injunctive relief to permanently stop the unlawful practices.
In-house legal teams should review customer agreements, vendor contracts with telemarketing service providers, and insurance-related service agreements. Key clauses to audit include consent provisions to ensure express, informed consent for all charges (especially recurring payments), negative option and automatic renewal clauses requiring clear disclosure of cancellation steps, material terms disclosure sections, telemarketing compliance representations and warranties, and data protection clauses for health and financial consumer information. Agreements should also prohibit impersonation of government entities or third-party carriers, and include breach notification requirements for unauthorized use of consumer data.
Entity
Innovative Partners, LP; American Collective, LP; Papyrus Green Investments LLC; Health Plan Administrators, LLC; Amani Ibrahim Shokry; Ahmed Ibrihim Shokry
Industry
InsuranceOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-sues-stop-deceptive-health-care-scheme
2423043innovativepartnerstro
https://www.ftc.gov/system/files/ftc_gov/pdf/2423043innovativepartnerstro.pdf
2423043innovativepartnerscomplaint
https://www.ftc.gov/system/files/ftc_gov/pdf/2423043innovativepartnerscomplaint.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
"April 22, 2026"
"The defendants include Innovative Partners, LP, which does business as Innovative Health Plan or Healthcare Plan, and its Chief Technology Officer Amani Ibrahim Shokry; American Collective, LP, which does business as ACLP Health Plan; Papyrus Green Investments LLC; and their owner Ahmed Ibrihim Shokry, as well as Health Plan Administrators, LLC."
"the defendants violated the FTC Act, the Telemarketing Sales Rule, the Impersonation Rule, and the Gramm-Leach-Bliley Act"
"unfairly charge consumers without their express, informed consent"
"fail to disclose material terms and conditions of their negative option feature, specifically the steps consumers must take to cancel the monthly recurring payments"
"the court entered a temporary restraining order against the defendants"
The FTC issued a policy statement abandoning disparate-impact liability, stating it will no longer bring claims based on this theory. It also modified compliance obligations for several companies based on past decisions.
The FTC, along with Utah and California, filed a complaint against Hims & Hers alleging the telehealth provider shared consumers' sensitive health information with third-party advertising platforms without consent, and deceived consumers about billing and cancellation practices. The complaint alleges violations of the FTC Act and the Restore Online Shoppers' Confidence Act.
$300K
The FTC alleged that Elite Events and Tickets LLC, doing business as Smart Scalpers, violated the Better Online Ticket Sales Act by circumventing security measures to bypass ticket purchase limits for over 2,400 events, reselling tickets at a profit. The proposed order requires payment of $300,000 (with a total penalty of $10.7 million partially suspended) and permanently prohibits the company and its owners from engaging in such circumvention tactics.
$45.9M
The FTC permanently banned Dennise Merdjanian from the debt relief industry and telemarketing after she and Superior Servicing LLC allegedly ran a student loan forgiveness scam that took more than $45.9 million from consumers. The proposed stipulated order imposes a partially suspended monetary judgment and resolves the FTC's litigation against the remaining defendants.
$16.5M
The FTC charged the founders of Celsius Network with deceiving consumers by falsely promising that cryptocurrency deposits were safe and always available. The founders agreed to pay $16.5 million and are banned from marketing or selling products that can be used to deposit or withdraw assets, among other restrictions.
$750K
The FTC finalized a settlement with Vanilla Chip LLC (doing business as TruHeight) and its principals over allegations that they deceptively advertised height-enhancing supplements for children and teenagers without competent and reliable scientific evidence. The FTC also alleged that TruHeight used fake social media bot profiles and relied on reviews written by employees, vendors, or consumers who received free products or discounts for 5-star reviews. Under the final order, TruHeight must pay $750,000 and is barred from making unsupported health claims or misrepresenting reviews.