An Illinois man and his sister from Indiana have been sentenced to federal prison for operating an online business that sold unapproved drugs while falsely claiming the products were FDA-approved and manufactured in the United States.
Matthew J. Kawa, 48, of Grant Park, Illinois, was sentenced to 70 months in prison and one year of supervised release after pleading guilty to introducing unapproved drugs into interstate commerce with intent to defraud and mislead, as well as illegally importing merchandise into the United States.
His sister, Jennifer L. Stechkober, 32, of Michigan City, received a sentence of 16 months in prison followed by one year of supervised release after pleading guilty to introducing unapproved drugs into interstate commerce with intent to defraud and mislead.
U.S. District Judge Cristal C. Brisco also ordered both defendants to pay more than $78,000 in restitution. Kawa was additionally ordered to forfeit $5 million in illegal proceeds.
Federal prosecutors said Kawa operated Paradigm Peptides, an online business that sold peptides, Selective Androgen Receptor Modulators (SARMs), human chorionic gonadotropin (HCG), and other drugs without approval from the U.S. Food and Drug Administration.
Authorities said the business falsely claimed its products were FDA-approved, manufactured in U.S. laboratories, thoroughly tested, and pharmaceutical grade. Investigators determined the products were instead imported from countries including China and India and were not properly tested before being sold.
According to prosecutors, some products labeled as SARMs actually contained testosterone. Customers reported serious side effects, including hormone disruption, skin problems, heart-related issues, anxiety, and other psychological effects.
Federal officials said Kawa continued selling the products despite receiving FDA warning letters in 2020 and 2022.
Between 2019 and 2024, prosecutors said the company sold products to more than 54,000 customers across all 50 states and more than 80 countries, generating approximately $5 million in revenue.
The case was investigated by the FDA Office of Criminal Investigations and the U.S. Postal Inspection Service.
