Key findings
- An Iowa court found Travis Broughton and two Omaha-based stem cell companies liable for roughly $1 million tied to umbilical cord stem cell injections marketed in Iowa.
- The ruling includes ~$810,477 in reimbursements to 76 patients, along with civil and enhanced penalties tied to violations involving older Iowans.
- The court also permanently barred the defendants from engaging in the same conduct in Iowa again, and allowed reimbursement of the state’s reasonable attorney fees and costs.
An Iowa court has ruled against Travis Broughton and his Omaha-based stem cell businesses Omaha Stem Cells, LLC and Regenerative Medicine and Anti-Aging Institutes of Omaha, LLC, finding the defendants liable for approximately $1 million, according to the Iowa Attorney General’s office.
What the court ordered
The Attorney General’s office says Mr. Broughton and the companies operated in Iowa generally from 2018 to 2020 and marketed and sold unproven umbilical cord stem cell injections. The court found the defendants liable for approximately $1 million, including:
- Reimbursements: Full reimbursement to 76 Iowans who received injections, totaling $810,477.
- Civil penalties: The court assessed what it described as the maximum penalty of $40,000 per violation, totaling $160,000.
- Enhanced penalties: The law allows enhanced penalties of up to $5,000 per violation when violations are committed against older Iowans, and the court imposed the maximum, for a total of $20,000.
The court also permanently prohibited Mr. Broughton and his companies from engaging in the same conduct in Iowa again and ordered reimbursement of the State’s reasonable attorney fees and costs.
“If you come into our state and scam Iowans you will be held accountable,” said Attorney General Bird. “We are grateful for the court’s decision in this case where a snake oil salesman preyed on vulnerable Iowans who desperately needed a cure and relief and used that against them for profit. It’s disgusting and wrong. We fight to make sure that these con artists are held responsible.”
Allegations in the case
According to the Attorney General’s office, the lawsuit accused Mr. Broughton and his companies of deceptively promoting umbilical cord stem cell treatments as cures for multiple conditions, including COPD (chronic obstructive pulmonary disease), joint pain, Alzheimer’s disease, and aging.
The office says the treatments were referred to as “regenerative medicine,” and that the defendants specifically targeted older Iowans and used testimonial videos in sales seminars that promoted the effectiveness of the treatments.
Read the full ruling here.
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