The US Securities and Exchange Commission filed charges against the stem cell company CellCyte for "falsely telling investors that the company's cutting-edge stem cell technology had been proven successful and was headed for human trials." According to The Scientist, CellCyte licensed stem cell-delivery compounds in 2005 and said that organ repair trials in humans would start in 2008. "The company really tried to take advantage of the hype over stem cells to give the false impression that they were on the verge of clinical trials when really it was just an early stage project that was going to require years of additional research and testing," SEC attorney Steven Buchholz says.
Randy Lieber, the company's acting chief financial officer says, "Once we realized the technology didn't do what the VA told us it would do, we discontinued working on that technology."