Vaisman accused of not disclosing administration status

DR Jack Vaisman (PhD) has dismissed as “absolute rubbish” the latest legal action against his erectile dysfunction treatment firm, Advanced Medical Institute (AMI), which is now facing allegations it failed to tell customers it was in administration.

The Australian Competition and Consumer Commission (ACCC) is already pursuing AMI in the Federal Court, accusing the company of “unconscionable conduct”.

In its statement of claim lodged with the court earlier this year, the ACCC says AMI used “unfair tactics and undue pressure” to sell its products and placed its own commercial interests ahead of vulnerable patients.

Now, in a new separate Federal Court action, the ACCC claims the company has wrongly accepted payments from clients and there was a “real risk” it may not endure long enough to deliver products or refunds to customers.

The ACCC has alleged patients have not been informed of the company’s administration status.

But Dr Vaisman told MO the company was clearly run by administrators and all documentation was written by – and announced the involvement of – administrators.

“That’s absolute rubbish – all our patients are informed in writing,” Dr Vaisman said.

“It’s a company run by the administrator, the company is not run by me.

“As far as I know, the administrator is happy and all documentation to the patients has confirmed that we are in administration.”

Dr Vaisman also questioned why the consumer watchdog had not found problems with AMI’s documentation despite sustained monitoring of the company, which had been in administration since March.

The ACCC will seek leave to pursue the latest matter and an injunction against the company receiving payment for goods to be delivered after its second creditors’ meeting.