A $1.8 billion startup with just 2 employees was hailed as the future. Now, the negative allegations are piling up

Gallagher admits he used AI to “write the code for the software that powers his company, produce the website copy, generate the images and videos for ads and handle customer service.” (1) The New York Times reports he used image and video generators Midjourney and Runway to create media for his website and ads. The same article outlines that some of its initial ads were AI-generated and that a ticker of mainstream media logos suggested the company was featured on well-known sites Bloomberg and The Times, though Medvi had only advertised there.

Read More: 5 essential money moves to make once you’ve saved $50,000

Even with this admission and seeming transparency around how AI is used to help market Medvi, it serves as a cautionary tale for consumers to be skeptical of what they read and what they see online before they choose to spend their hard-earned cash on a product or service.

On February 20, 2026 (nearly six weeks before the NYT profile), the FDA issued a warning letter #721455 (4) to Medvi outlining its misbranding allegations against the company. It alleges the products pictured on the website suggest that Medvi is the drug compounder, but it is not and therefore the drug products are false or misleading. It also states that compounded drug products are not FDA-approved. Business Insider reports (5) that while the warning letter was addressed to Medvi, the website mentioned in the letter was medvi.io. Gallagher claims this site is operated by an affiliate marketer and that Medvi’s website is medvi.org. Gallagher said the marketer used his company name without permission and has since removed the website and responded to the FDA.

Beyond the deepfake and misbranding allegations, there is also concern about how Medvi allegedly advertises to consumers. It is alleged that there are over 800 Facebook accounts for doctors that are used to advertise the slew of drugs Medvi has to offer, but all of them are allegedly fake (6). An April 3, 2026 search of Meta’s ad library for “medvi” returned over 5,000 active ads (7), many of which were run under these doctor accounts. That number has since fallen to 2,800, following a Business Insider investigation, according to Drug Discovery & Development (7).

As of April 6, Dr. Matthew Anderson, MD (8) appears across Medvi ads (8) but the Facebook account seems to at one time have been for a gospel band and Dr. Spencer Langford, MD’s (8) profile appears to be for someone located in the “Republic of the Congo.” Business Insider also found these profiles in their research (5).

With this allegation, Medvi could be in violation of the FTC’s truth in advertising requirements. The requirement states that when consumers see or hear an advertisement, whether it’s on the Internet, radio or television, or anywhere else, federal law says that ad must be truthful, not misleading and, when appropriate, backed by scientific evidence (9). The FTC’s updated Endorsement Guidelines explicitly cover virtual endorsers, bots and fake personas — and penalties can run up to $43,792 per violation (10).

In September 2025, the National Consumers League and other organizations named Medvi and five other telehealth companies in an investigation request to the FTC. Nancy Glick, the NCL’s director of food, nutrition, and obesity, says Medvi’s use of terms like “trusted by experts” and “doctor-approved” confuses consumers about the safety testing of its compounded drugs. “What Medvi is doing violates the FTC act,” she told Business Insider (5). A class action lawsuit was filed in California on March 20, 2026 (11) and alleges that Medvi is benefiting from affiliate spam. It states that emails with subject lines like “This might be the easiest way to start Ozempic” route consumers to a Medvi landing page when they engage (7). The lawsuit was filed under California’s anti-spam law and at least 100,000 people are involved.

Drug Discovery & Development reports (7) that after the New York Times profile, Gallagher took to social media to defend Medvi’s business model in a now-deleted X (12) post claiming “White label telemedicine is a huge benefit with a net positive for humanity. It has been the driving force behind big pharma lowering prices and making healthcare accessible to everyone from home. Low energy people think offering life-changing weight loss medication, prescribed by a doctor, is a trendy ‘pill mill’. Wait til you see what’s possible with longevity services and peptides. I’m bullish on humanity. If you are too, I’ll help you build.”

These allegations and lawsuit serve as a strong reminder to consumers to do their due diligence when considering any health-related program or medication. For example, remember to always check with your doctor for guidance and advice that is best suited to your individual needs and if your telehealth provider’s doctors are not listed in state licensing databases, then it’s a sign to proceed with caution — if at all.

You May Also Like

Join 250,000+ readers and get Moneywise’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.

Article Sources

We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.

The New York Times (1); @alexisohanian (2); Futurism (3); U.S. Food and Drug Administration (4); Business Insider (5); @Brand (6); Drug Discovery & Development (7); Facebook (8); FTC (9, 10); Justia (11); X (12)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.