Ruthia He, the founder and CEO of the California-based digital health company Done, has been convicted for her role in a massive scheme involving the illegal online distribution of Adderall and widespread health care fraud. The verdict marks a dramatic downfall for a once-celebrated entrepreneur who built her company around the promise of accessible digital mental-health care. Instead, federal prosecutors say she turned telehealth into a vehicle for deception, addiction, and profit.
A Digital Health Vision that Crossed the Line
He marketed Done as a modern solution to the growing demand for psychiatric care, especially during the COVID-19 pandemic, when millions struggled to access in-person services. But behind the polished branding and tech-driven messaging, prosecutors said He built a structure designed to bypass medical safeguards and fast-track stimulant prescriptions.
At trial, evidence showed that He and her clinical president, psychiatrist David Brody, implemented strict limits on appointment lengths, prevented meaningful follow-up care, and paid nurse practitioners to rapidly refill Adderall prescriptions without adequate evaluation. An internal “auto-refill” feature allowed patients to remain on powerful stimulants for years with no clinical check-ins—sometimes even after a patient had died.
According to prosecutors, the goal was simple: shorten visits, increase prescriptions, maximize subscription revenue, and use a flood of online ads to keep new patients coming.
A Business Built on Deception and High-Pressure Tactics
Jurors heard that He spent more than $40 million on aggressive social-media ads that targeted individuals who were anxious, isolated, or struggling during the pandemic. Campaigns suggested that large numbers of Americans were unknowingly suffering from ADHD, and directed users toward quick, easy access to stimulant prescriptions.
To maintain the illusion of credibility, prosecutors say He used medical language and psychiatric terminology while privately pushing employees to view addiction as a profit driver. At one point, she allegedly told staff that successful technology companies profit from addiction and even offered an expensive electric vehicle to those who helped boost prescription volume.
Nurse practitioners were paid as much as $60,000 per month to refill prescriptions with little or no clinical interaction. Concerns raised by families—some reporting psychosis, bipolar episodes, or dangerous side effects—were dismissed. Patients were also prevented from being discharged, regardless of risk.
Insurance Fraud and the Push to Keep Prescriptions Flowing
To ensure customers could afford their monthly shipments of stimulants, He and Brody orchestrated a coordinated effort to defraud insurance providers. According to prosecutors, the company submitted false prior authorization requests claiming adherence to clinical guidelines they did not follow. This resulted in insurers—including Medicaid and Medicare—paying out more than $14 million.
Internal records cited at trial showed that He, who had no medical training, was ultimately the one approving clinical policies. Meanwhile, the company publicly denied these practices when media outlets, investors, and pharmacy chains began questioning their rapid expansion.
Obstruction and the Attempt to Evade Accountability
As federal scrutiny increased, He allegedly moved operations overseas, deleted documents, and limited internal communication to encrypted apps with disappearing messages. She also transferred more than $1 million to a shell company in China and researched countries without extradition treaties.
Authorities arrested her at the airport before she could leave the United States.
Convictions and What Comes Next
He was convicted of conspiracy to distribute controlled substances, multiple counts of unlawful distribution, conspiracy to commit health-care fraud, and conspiracy to obstruct justice. Brody, her second-in-command, was convicted on all but the obstruction charge. Both face up to 20 years in prison for the distribution counts alone.
Sentencing is scheduled for February 25, 2026.
A Cautionary Tale for Digital Medicine
Ruthia He’s conviction underscores a growing challenge in the rapidly expanding world of telehealth. While digital platforms have opened doors for millions seeking mental-health support, her case highlights how vulnerable systems can be exploited when oversight fails.
For many observers, the outcome serves as a reminder that innovation without responsibility can put lives at risk—and that even in tech-driven health care, ethics and patient safety must remain at the center.
Source: U.S. Drug Enforcement Administration
