Peyton Palaio is a Georgia businessman whom investigators, former employees, and court records identify as the figure behind O.P.M.S. (Optimized Plant Mediated Solutions), one of the largest kratom brands sold in the United States. His name rarely appears on the corporate paperwork, but internal documents, organization charts, and sworn testimony place him at the center of roughly two dozen companies that import, process, and distribute the brand’s products. He is now a named defendant in multiple wrongful death lawsuits and consumer class actions, and in June 2026 a federal judge in Virginia allowed fraud and conspiracy claims against him to move forward.1Courthouse News Service. Virginia Judge Ushers In Fraud Claims Against Nation’s Leading Kratom Distributors
Background Before Kratom
Palaio’s path into kratom ran through the synthetic cannabinoid trade. In 2012, Georgia Bureau of Investigation agents raided a lab in a Marietta, Georgia, shopping center a day after the federal Synthetic Drug Abuse Prevention Act was signed into law. Investigators identified Palaio, then 25, as a major regional manufacturer and distributor of “Spice.” GBI agent Ken Howard described him as “at the top of the food chain” among synthetic drug operators in the Southeast. Federal prosecutors never pursued charges.2Tampa Bay Times. Kratom Industry OPMS Supply Chain
Agents on that raid also found “a lot of kratom” at the site, along with evidence that Palaio was already selling a product he called “Kratom OPM,” a reference to opium.3Center for Health Journalism. Kratom’s Path Across the US Marked by Deception and Secrets Court filings in later cases note a 2008 heroin possession arrest, a 2009 probation violation arrest, and prior arrests tied to marijuana and methamphetamines.4Atlanta Law Group. Pope v. Kratom Amended Complaint
In August 2012, the parents of 16-year-old Chase Burnett sued Palaio and his associate Mark Reilly after the teenager died from a synthetic cannabinoid product called “Mojo Diamond Extreme.” The two had operated through an entity named Omerta Labs LLC. Palaio denied any connection to the product, and the case settled out of court.5Atlanta Journal-Constitution. Alleged Synthetic Pot Distributor Sued in Teen Death
The O.P.M.S. Corporate Network
O.P.M.S. is not itself a registered company. It is a brand name sitting over a web of limited liability companies and trade names, most registered in Wyoming, that each handle a different stage of the kratom supply chain. Palaio was chief executive of Olistica Life Sciences Group, the umbrella entity, until he stepped down around late 2022. His longtime associate Mark Jennings succeeded him. Olistica later renamed itself Centralized Services.6Tampa Bay Times. Major US Kratom Brand Relies on Maze of Companies
Several entities carry out specific functions within the network:
- Martian Sales, Inc. (Wyoming) holds the O.P.M.S. trademarks. Mark Reilly is president.
- Jordan Process (Colorado) runs a factory in Springfield that produces kratom extracts. Internal organization charts listed Palaio as CEO. The facility is named after his brother, Samuel Jordan Palaio, who died of a heroin overdose in 2015.3Center for Health Journalism. Kratom’s Path Across the US Marked by Deception and Secrets
- Calibre Manufacturing (formerly Advanced Nutrition) processes and encapsulates products in Marietta and Alpharetta, Georgia.
- JOpen LLC (Texas) wholesales through A1 Wholesale and the site PartyNuts.com. Owner Eyal David Gabbay testified in an October 2025 deposition that JOpen has worked with the brand since 2012 and “pays the bills for O.P.M.S.”7GovInfo. Moller v. Martian Sales Court Filing
- LGI Holdings, LLC handles imports. Internal documents cited in litigation allege LGI planned to import 35 million kilograms of kratom over six years through the ports of Oakland and Los Angeles.8Truth in Advertising. J.P. v. Martian Sales Complaint
- Nuza LLC manages shipping and logistics for the Georgia production facilities.
Other entities in the network include R.M.H. Holdings, PFI LLC, Highway 160 Way LLC, Onix Media, Choice Organics, and NP Pharma Holdings. Plaintiffs’ attorneys have described the structure as a deliberate effort to obscure ownership and shield the operation from liability.6Tampa Bay Times. Major US Kratom Brand Relies on Maze of Companies
Wrongful Death Lawsuits Naming Palaio
Families in several states have filed wrongful death suits against Palaio and entities in the network, alleging that the brand’s concentrated kratom products caused fatal overdoses.
Ethan Pope, Georgia
In October 2022, the parents of 23-year-old Ethan Pope sued in Cobb County, Georgia, alleging their son died on December 3, 2021, from “mitragynine intoxication” after consuming O.P.M.S. Black Liquid Kratom. The complaint accused the defendants of failing to disclose health risks, failing to test adequately, and failing to meet safety labeling requirements under the Georgia Kratom Consumer Protection Act. Former employees said Palaio’s departure as Olistica CEO coincided with the filing.4Atlanta Law Group. Pope v. Kratom Amended Complaint
Harmony Moller, Louisiana
Kathleen Moller filed a wrongful death and products liability case in the Eastern District of Louisiana after her 36-year-old daughter, Harmony Moller, died on February 6, 2023, allegedly from ingesting O.P.M.S. Silver. The suit names Palaio, Jennings, Reilly, Gabbay, and multiple corporate entities.9GovInfo. Moller v. Martian Sales Court Filing A trial date was set for April 13, 2026.10CaseMine. Moller v. Martian Sales Ruling
Julie Walter, Colorado
The estate of Julie Walter filed in Denver County in August 2024, alleging she died September 24, 2022, from “mitragynine toxicity” after consuming products including O.P.M.S. Gold. The complaint called Palaio the “ringleader of a vertically integrated kratom syndicate” and accused the network of smuggling raw kratom into the country while mislabeling the finished products as safe dietary supplements.11S3 CDN. Walter v. Palaio Complaint
Robert Simmons, Colorado
In September 2024, the wife of Robert Simmons filed in Weld County, Colorado, alleging he died on September 27, 2023, from “acute mitragynine (kratom) toxicity.” The complaint named Palaio, Jennings, and multiple O.P.M.S.-linked entities and accused them of operating a “secretive web of affiliates” to avoid accountability.12Sacramento Bee. Kratom Wrongful Death Lawsuit
Consumer Class Actions
Palaio and the network also face class action complaints alleging deceptive marketing and failure to warn about addiction.
A California plaintiff sued Martian Sales in February 2023, alleging O.P.M.S. failed to disclose that its products are “perniciously addictive” and act on the same brain receptors as opioids. The complaint said O.P.M.S. “Black” line extracts contain alkaloid concentrations 35 times greater than regular kratom leaf powder. The case remained active as of January 2026.13ClassAction.org. OPMS Failed to Warn That Kratom Products Can Be Addictive
A broader action was filed in November 2023 in the Northern District of California, naming Martian Sales and Palaio personally and alleging the entire O.P.M.S. enterprise engaged in deceptive and negligent sales practices. The amended complaint cited the death of Ethan Pope.14Truth in Advertising. C.M. v. Martian Sales First Amended Complaint
In February 2025, a New York plaintiff identified only as J.P. filed a proposed class action in the Eastern District of New York against Palaio and eight O.P.M.S. entities. The suit alleges violations of New York consumer protection statutes, breach of implied warranty, unjust enrichment, fraud by omission, and negligent misrepresentation. The plaintiff filed anonymously, citing the stigma of addiction.8Truth in Advertising. J.P. v. Martian Sales Complaint
The June 2026 Virginia Ruling in Tucker v. Palaio
On June 17, 2026, U.S. District Judge David Novak in the Eastern District of Virginia denied a motion to dismiss in Tucker v. Palaio. The plaintiff, Corey Tucker, said he began using kratom in 2022 for chronic back pain after the products were marketed as a safe herbal alternative to opioids. When he stopped, he experienced severe withdrawal, including fever, insomnia, and restless leg syndrome, that required medical care.1Courthouse News Service. Virginia Judge Ushers In Fraud Claims Against Nation’s Leading Kratom Distributors
Judge Novak ruled that Tucker’s claims of fraud by omission and civil conspiracy could proceed. The court found that the defendants had a duty to disclose the addictive potential of their products and that existing packaging warnings were “entirely devoid of any [statement] about the products’ potential for addiction.” The judge also rejected arguments that the court lacked personal jurisdiction over the individual corporate defendants, accepting the plaintiff’s theory that the various entities function as “alter ego shells” of a larger network. The complaint names “Remarkable Herbs” and “Whole Herbs” alongside O.P.M.S., extending the litigation beyond the flagship brand. Class certification has not been granted.15Courthouse News Service. Tucker v. Palaio Court Response
FDA Warning on O.P.M.S. Black Liquid
On July 26, 2024, the U.S. Food and Drug Administration issued a safety alert telling consumers not to purchase or use O.P.M.S. Black Liquid Kratom. The warning followed a reported death linked to the product and a wider pattern of adverse event reports, including withdrawal, addiction, and digestive problems. The FDA said kratom cannot lawfully be marketed as a dietary supplement or added to conventional foods, and that it has not approved any drug products containing the kratom alkaloids mitragynine or 7-hydroxymitragynine.16FDA. FDA Warns Consumers Not to Use OPMS Black Liquid Kratom An attorney for the trademark owner said the company intended to challenge the warning.17Bloomberg. Kratom Users Warned by FDA Against OPMS Black Liquid After Death Reported