A look at telehealth startup Done Global, whose owner was arrested by the US in June for allegedly running a “pill mill”, as it continues to operate from China
Rolfe Winkler / Wall Street Journal : X: @dseetharaman , @jchengwsj , @laurenbalik , @heathernauert , @jchengwsj , @jchengwsj , @rolfewinkler , @rolfewinkler , @stephpstrong , and @jchengwsj . LinkedIn: Rolfe Winkler X: Deepa Seetharaman / @dseetharaman : “When He was arrested, a U.S. employee posted a warning to customers on the company's Instagram account...'The management team from China has taken over operations.' It was signed ‘The US/Core Team.’ The post was removed within minutes.” https://www.wsj.com/... Jonathan Cheng / @jchengwsj : Authorities arrested founder @ruthiahe, a Chinese citizen, in June and jailed her for three months. She was released last week, on condition that she remain under house arrest. She has pleaded not guilty. https://www.wsj.com/... Lauren Balik / @laurenbalik : Boy I'd hate to be David Sacks @DavidSacks, lead investor in the Done Adderall pill mill. David Sacks' other drug-related lead investment - WAYV - ended up with CEO Keith McCarty rooming with a money launderer, crack, illegal possession of firearms, and hookers. [image] Heather Nauert / @heathernauert : 👀Astonishing story. Pill-pushing CA company shut down by US but still sells stimulants to Americans. How? Pivot to China. More A+ reporting from @wsj U.S. Crackdown Targeted a Silicon Valley ‘Pill Mill’ Secretly,It Had Already Moved to China https://www.wsj.com/... Jonathan Cheng / @jchengwsj : @ruthiahe Wang, a college classmate of He's, now runs Done with four others. Three are in China, including Wang, who didn't respond to requests for comment. Done has transferred $6.6 million to entities in China since its founding, according to court records. https://www.wsj.com/... Jonathan Cheng / @jchengwsj : U.S. authorities arrested the founder of Done Global, a California telehealth startup that prosecutors call an Adderall “pill mill.” Its U.S. staff quit. Still, it's pumping out prescriptions. Its secret: Key operations were moved to China. @RolfeWinkler https://www.wsj.com/... Rolfe Winkler / @rolfewinkler : Not every day a founder livestreams FBI agents serving a search warrant for her smartphone. Video at the bottom of the story. Rolfe Winkler / @rolfewinkler : The founder of what Feds allege is an Adderall “Pill Mill” couldn't get Americans to execute her aggressive plans, so she moved the company to China. Its 60k+ patients have no idea. Seven criminally charged but co still in biz b/c too big to shut down. https://www.wsj.com/... Stephanie Papes Strong / @stephpstrong : @RolfeWinkler Incredibly in-depth & thoughtful journalism, covering what seems like a true horror show. This 1 pill mill casts a shadow on the 10,000 other providers working to do the right thing by providing accessible, modern, high-quality care supported by telemedicine. Jonathan Cheng / @jchengwsj : Its staff there have been aggressive in making sure customers can still get easy prescriptions for Adderall, a drug prescribed for attention-deficit hyperactivity disorder that is also among the most abused drugs in the U.S. https://www.wsj.com/... LinkedIn: Rolfe Winkler : Have never seen a startup founder livestream FBI agents serving a search warrant for her iPhone. We have the video in this story. …
Context & Ripple Effects
Done Global had already been tied to concerns that telehealth firms used pandemic-era flexibility and clinician pressure to accelerate stimulant prescribing, as reported in earlier coverage of Done's prescribing practices. June charges against its founder and head doctor then turned those concerns into a federal enforcement matter.
The new reporting shows that the business did not simply cease operating after the June arrests and charges. Instead, control shifted after U.S. staff departures, with leadership and key operations moving to China while prescriptions to U.S. patients continued.
First-order effects
- Done Global's remaining management can continue serving U.S. patients despite the founder's house arrest and the loss of U.S.-based staff, creating immediate continuity questions for patients and prescribers.
- U.S. investigators face a more complicated oversight target: an alleged prescription operation serving Americans while its operational leadership is largely outside the U.S.
Second-order effects
- Other telehealth providers handling controlled medications may face closer scrutiny of prescribing workflows, clinician independence, and who controls operations after enforcement action.
- Patients dependent on the service could encounter disruption or uncertainty if regulators, clinicians, or pharmacy partners reassess their willingness to support the platform.
Third-order effects
- If telehealth prescription businesses can preserve service by shifting management across borders, enforcement will increasingly need to focus on the U.S.-based clinical, pharmacy, and patient touchpoints rather than founders alone.
- The case reinforces a durable tension in virtual care: rapid remote access can outlast a company's local operating presence, raising pressure for clearer accountability across clinical and corporate control.
The trend: Telehealth's expansion into controlled-medication prescribing is driving a shift from growth-focused oversight toward accountability for the cross-border structures behind patient care.