Byron Bay businessman Ross Macdougald, director of Plant Extracts and Biologi, found to have spread misleading claims

A court found a Byron businessman engaged in deceptive conduct to spruik popular cosmetics, including brand Biologi. Influencers are distancing themselves and stockists are also taking action.

Byron Bay businessman Ross Macdougald.

A Byron Bay businessman has been dealt a blow after the Federal Court found he engaged in deceptive conduct to spruik his popular cosmetics – even claiming products contained a made-up ingredient.

The lawsuit against the North Coast’s Ross Macdougald and his companies Plant Extracts and Biologi was filed by Lisa Carroll three years ago.

Ms Carroll runs rival business Native Extracts, which is based in Alstonville. She is Macdougald’s ex-girlfriend and business partner.

In October, after a lawsuit Ms Carroll said cost millions, Justice Kylie Downes found Macdougald used misleading tactics to promote businesses, including popular brand Biologi.

Before handing down her full judgement, Justice Downes ordered Macdougald to publish five corrective notices on companies’ websites and social media channels relating to eight misleading claims.

Ross Macdougald.

One claim was the false statement that Southern Cross University conducted independent testing of Macdougald’s botanical plant extracts.

In reality, his company modified certificates from the university and these certificates were owned by Ms Carroll’s company Native Extracts, the court found.

Between July 2016 and May 2018, Plant Extracts also included the Organic Food Chain (OFC) logo on its products when the company was never certified as organic.

Perhaps most astonishing was Mr Macdougald’s claim his products contained “byangelicin” – a compound that supposedly worked to counteract early-ageing in the skin by improving collagen production.

Justice Downes ruled byangelicin did not exist.

Ross Macdougald. Picture: Tessa Flemming.

Biologi falsely advertised skincare products as containing one ingredient, being comprised solely of pure plant extracts, being free from additives and being undiluted, the court found.

When approached, a Biologi spokeswoman said the company was “content that information already released provides as much background as we are currently able”.

“ (T)his matter is still before the courts and there are issues of liability that arise due to reliance placed on third-party testing facilities in good faith,” she added.

The finding impacts numerous companies, models and influencers which have stocked and promoted Biologi.

The Skin Bar, a Sydney-based skincare company, confirmed it has stopped stocking or selling Biologi products and was aware of Macdougald’s situation.

Biologi has been promoted by influencers including Ruby Tuesday Matthews.

“For the moment, we have decided to discontinue stocking Biologi, we will be very upset if we have been lied to, being a client of Biologi for so many years,” a spokeswoman said.

A representative for Australian model Samantha Harris and beauty writer Gemma Watts distanced the two women from the company.

She said Ms Harris and Ms Watts were involved in a one-off collaboration with Biologi a couple of years ago and neither have an ongoing association.

Other prominent companies which stock Biologi – including The Iconic, Adore Beauty and Nourished Life – have not yet responded to requests for comment.

The brand has also been promoted by social media influencers including Ruby Tuesday Matthews, Harmony Butcher, Melissa Ambrosini and celebrity make-up artist Fernando Hervas.

Biologi products. File image.

Meanwhile, Ms Carroll said the court’s decision was “a significant step towards transparency and integrity for the cosmetics industry”.

“The case shows how easily misleading representations by an ingredient wholesaler such as Plant Extracts and those made to Biologi’s retail consumers, distribution channels, stockists and influencers can be amplified and proliferate exponentially globally,” she said.

“It’s alarming to think that an unknown compound like Byangelicin can return over 1000 Google search results, when in fact Byangelicin does not exist, raising the question of how it could ever have been attributed to delivering skincare benefits as claimed by Biologi and Plant Extracts in the first place.”

A YouTube video titled Skincare 101 with Ross Macdougald, Founder of Biologi was published by user dermhealthco on September 3, 2020, in which he decries “skincare myths and false information”.

The video caption states: “Ross is calling for a change in the skincare and cosmetics industry, dedicating his time to educating consumers on the misleading and unsubstantiated claims that the industry is rife with.”