Korean Firm hit for stem cell treatment in Japan

By Yun Suh-young

Local stem cell research firm RNL Bio has come under criticism for introducing Korean patients to Japanese hospitals for stem cell treatment.

Japanese daily Mainichi reported Sunday that a Japanese hospital was providing treatment with unauthorized adult stem cells sent to it by the Korean company. It also said that RNL Bio received money in exchange for sending Korean patients to Japan.

The paper said that a clinic in Shinjuku, Tokyo, conducted stem cell treatments on 500 Korean patients a month with adult stem cells that weren’t proven safe. It also reported that the stem cells extracted from the patients were taken to Japan by the patients themselves.

The report is stirring controversy because under Korean law, the practice of introducing patients to hospitals with the intent of profiting financially is outlawed. Any organization doing so is subject to a maximum three years in prison or a 10 million won fine.

The Korean government is currently looking into the matter. The Ministry of Health and Welfare said it plans to take appropriate action against the company if any illegal procedure is detected during its investigation.

RNL Bio is strongly protesting against the claims, saying there was no financial gain involved in the process of transferring the patients and therefore the process was not illegal.

The company said in a statement Monday, after Korean media released reports what was said in the Japanese newspaper, that Mainichi’s claims were malicious and damaging to its reputation.

“We will take legal measures against the paper. We simply hope the article was written based on false reporting,” the company said.

“We have never introduced a patient to Japanese hospitals in return for money. We have absolutely no connections with the local hospitals and simply made suggestions to patients for their convenience.”

It went on to say, “Introducing patients to Korean hospitals in a foreign country is not illegal under the current law. The matter was already made clear by the Gwangju District Court and the Seoul Central District Prosecutors’ Office when it was a controversial issue back in 2010.”

Another point of controversy was whether the company should be held responsible for exposing patients to potential risks arising from the stem cell treatment.

Conducting surgery with stem cells is highly restricted under Korean law. Only stem cell therapies that have received approval under pharmaceutical law through clinical tests are accepted for use in operations.

However, in Japan doctors are free to conduct operations with stem cells they have extracted from patients without approval from health authorities.

“As the stem cells were extracted from the patients in Japan by Japanese doctors, there is nothing controversial,” the company said.