Bureau of Prisons faces scrutiny over startup's exclusive deal to sell non-FDA-authorized nicotine pouches to prisoners
Updated on: September 4, 2026 / 7:03 PM EDT / CBS News
TL;DR
- A new company, SHFT Holdings Enterprise, was granted an exclusive deal to sell "mindSHFT" nicotine pouches in federal prison commissaries.
- The "mindSHFT" product is not authorized by the Food and Drug Administration (FDA) for sale in the U.S. and is not commercially available.
- A whistleblower complaint prompted the Justice Department's inspector general and Attorney General to investigate the deal.
- A senior prison official has paused all further procurement of the nicotine pouches pending a review.
- SHFT Holdings Enterprise was incorporated in Florida shortly before the BOP published a request for information regarding nicotine pouch vendors.
- The BOP stated the nicotine pouches were intended to combat contraband tobacco and nicotine products.
- No illnesses or adverse effects have been reported from the use of these products.
- The FDA has stated it has not issued any authorization for mindSHFT nicotine pouches.
- The company claims to have submitted applications to the FDA and that its products are made by an established manufacturer.