The U.S. Food and Drug Administration (FDA) raided JUUL Labs’ headquarters recently as part of a sweep to analyze the marketing practices of the vapor manufacturing giant, according to CNBC.
The surprise inspection resulted in a seizure of thousands of papers from JUUL’s San Francisco-based office. A majority of the documents were related to the startup’s marketing and sales campaigns, the FDA reported.
An FDA spokesperson explained to TechCrunch the reason behind the JUUL FDA raid.
“The purpose of these inspections was to determine compliance with all applicable FDA laws and regulatory requirements,” said the spokesperson. “The new and highly disturbing data we have on youth use demonstrates plainly that e-cigarettes are creating an epidemic of regular nicotine use among teens. It is vital that we take action to understand and address the particular appeal of, and ease of access to, these products among kids.”
JUUL, which had a company valuation of $15 billion, dominates the U.S. vaping industry by controlling more than 70 percent of the market. It’s widely recognized as one of the “cool” brands for teens to be seen using.
The FDA last April proclaimed a 60-day deadline to five major vaping companies, including JUUL, to present the agency with marketing plans to combat teen use. If not satisfied with the plans, the FDA threatened to place a retail ban on the company’s products.
JUUL CEO Kevin Burns told TechCrunch the company has released more than 50,000 documents to the FDA.
“We want to be part of the solution in preventing underage use, and we believe it will take industry and regulators working together to restrict youth access,” Burns said. “We look forward to presenting our plan to address youth access in the 60-day time frame as outlined by FDA.”
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