SP Farma in Brazil owes more than US$ 7 million to US, Indian and Chinese vendors, distributors and also former workers in the nutraceutical raw material industry
This 20 + year old distributor of pharmaceutical raw materials started to go south when one of its partners left and the remaining principal started to attempt to make bigger strides than the business could afford for a complete disaster. Currently, this company owes several chinese, indian and american companies millions of dollars with aging invoices as old as 24+ months. The company has failed to make every installment plan agreed upon with symbolic amounts. There are several Chinese companies with an excess of $500k in uncollectable invoices. There is over 2 Million Reais ($1.3 million) in labor lawsuits against the company. There are several American companies attempting to collect on this company. The company has over 300 company checks returned by the bank due to insufficient funds. The principal Mr. Gilberto Santos has tried to incorporate other businesses under different names to continue to try to build credibility with new and existing suppliers using front names. Businesses such as spvida and others are just a front for sp farma. Please be aware of this company if you are a supplier of raw materials in the field of pharmaceuticals and health food products. They will contact you, and attempt to get terms. Do not give them terms under any circumstances, you will not be paid back. The company is insolvent, the company is ran by a bunch of Crooks that will do anything to convince you to give them credit terms or do ilegal alterations to your products to suit their needs to compete in their market. They have been shut down during the entire year in 2010 due to lack of compliance in their lab, they were running some sort of monkey business and the Brazilian health department shut them down. Furthermore, Brazil has a very burocratic legislation and laws are changing all the time, sometimes monthly, affecting all incoming cargos. Therefore, even when purchases have occured on a prepaid basis, they will send product back to you and let you deal with FDA, customs, which has caused several problems for many of these companies. If purchased under net terms, they will neglect the cargo and let it be lost and dont pay you!!! It s a bad situation, it s a bad business partner to have. Do not do business with them, you will lose one way or the other!!!!! I have decided to build this blog after 2 years attempting to collect on their past due invoices. I let them design their own payment plan, and they failed right from the first installment. Stay away from these Crooks!!!
