Iowa AG Bird secures settlement against executive of alleged scam stem cell treatment company

(ABC 6 News) — Iowa Attorney General Brenna Bird announced a settlement with Michael Pavey, an executive of an Omaha-based stem cell company, on Tuesday.

The settlement resolves allegations that Pavey tricked Iowans by marketing and selling them unproven and dangerous stem cell treatments.

It the lawsuit against the company and its executives, the state accused Pave3y of wrongfully promoting his company’s stem cell treatments as cures for a number of health disorders.

These included COPD, joint pain, Alzheimer’s disease, and even aging. The company sometimes referred to their fake treatments as “regenerative medicine.”

These fake treatments are alleged to have made Iowans sick, and the lawsuit also alleges that Pavey specifically targeted older Iowans.

“This is a reminder for anyone caught taking advantage of Iowans: you will be held accountable,” said Attorney General Bird via a press release. “It is unacceptable for anyone to come into our state and sell snake oil to sick Iowans who are trying to get better. My office is holding con artists to the law.”

The settlement permanently bans Pavey from marketing or selling stem cell treatments in Iowa. He is required to pay approximately $240,000 in restitution to Iowans, which was the total amount he received from marketing and selling the alleged fake treatments. Pavey will also pay $6,000 to Iowa’s consumer education and litigation fund.