{"id":128398,"date":"2016-10-14T09:53:24","date_gmt":"2016-10-14T13:53:24","guid":{"rendered":"\/news\/?p=128398"},"modified":"2016-10-14T09:54:02","modified_gmt":"2016-10-14T13:54:02","slug":"documents-reveal-company-inventory-body-parts-greater-4-4-million","status":"publish","type":"post","link":"https:\/\/archive.liveaction.org\/news\/documents-reveal-company-inventory-body-parts-greater-4-4-million\/","title":{"rendered":"Documents reveal company’s inventory of body parts “much greater than $4.4 million dollars”"},"content":{"rendered":"
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On October 12, 2016, Orange County District Attorney (DA) Tony Rackauckas announced his office had filed a 21-page civil complaint alleging unlawful and unfair business practices against Yorba Linda-based DV Biologics, DaVinci Biosciences and two of the business\u2019s owners, Andres Isaias and Stefano Isaias.<\/p>\n

The case involves DaVinci Biologics\u2019 sale of fetal tissue products for \u201cvaluable consideration\u201d which is illegal under both California (HSC Section 125320) and federal law (42 US Section 289-g-2(a)). From 2009-2015, DaVinci Biologics obtained aborted fetal donations from Planned Parenthood and turned those donations into a profit-driven business.\u00a0 The company sold hundreds of different \u201cpre-natal products,\u201d for high-margin valuable consideration to companies all over the world, in violation of the law.<\/p>\n

\"Orange<\/a><\/p>\n

The fetal tissue DV Biologics sold was donated by Planned Parenthood on a regular basis. Rackauckas said the donations were collected several times a week.<\/p>\n

The company is also accused of padding packaging, handling and shipping costs to earn extra profits from the sale of fetal parts, and continuing to operate after the State Franchise Tax Board forfeited both DaVinci and DV Biologics\u2019 powers, rights and privileges in July 2015 and November 2014, respectively.<\/p>\n

\"Orange<\/a><\/p>\n

Rackauckas clarified the case, \u201cis NOT about whether or not it should be lawful to sell fetal parts or whether fetal tissue research is ethical or legal.\u201d<\/p>\n

\u201cWe are simply charging these Defendants with illegally selling<\/strong> hundreds of fetal tissue products for profit<\/strong>,\u201d said the DA\u2019s statement, with emphasis.<\/p>\n

Currently, the law allows for the reasonable payment for the removal, processing disposal, preservation, quality control, storage, transplantation and implantation of human fetal tissue.<\/p>\n

\"Orange<\/a><\/p>\n

\u201cIt is against the law to intentionally sell human body parts for profit, including fetal tissue donations obtained from abortions,\u201d Rackauckas said. \u201cTo be sure, fetal products were routinely sold [by DV Biologics] at a 10-fold or higher mark-up over their costs.\u201d<\/p>\n

Most products were priced somewhere from $300\u2014to $700 per vial, when the \u201cproducts\u201d were processed for $20 per vial or less, according to his statement. In 2015, DV Biologics exceeded $550,000 in gross revenue from fetal tissue sales alone.<\/p>\n

\"Orange<\/a><\/p>\n

The DA offered substantial evidence from documents subpoenaed from both companies, including internal communications, business plans, and the DV product catalog, which had grown to greater than 48 pages for 2011-2012.<\/p>\n

\"Orange<\/a><\/p>\n

By the end of 2011, DV had 13 worldwide distributors and the majority of its revenue was earned from international sales. Fetal tissue was sold to pharmaceutical companies, academic institutions, and distributors both here in the U.S. and around the world, including Japan, China, Singapore, Korea, Germany, Switzerland, Spain, Australia, Netherlands, Canada and the United Kingdom.<\/p>\n

The company also regularly offered \u201csales\u201d pricing promotions on fetal tissue, including for example, a \u201c25% off\u201d summer sale and \u201c25% off\u201d fall promotion in 2013.<\/p>\n

\u201cSales staff were given wide flexibility in using discounts in order to close a sale, because they all knew they still ended up \u201con top,\u201d\u2019 Rackauckas said.<\/p>\n

\"Orange<\/a><\/p>\n

Here are some profits per fetal part:<\/p>\n