In a shocking development within the Asian healthcare industry, Cordlife Group Ltd., headquartered in Singapore and operating across the region, has reported the compromise of nearly 10,000 umbilical cord blood samples. This incident has not only affected the Singapore branch but also caused distress among parents in Hong Kong, Macau, Indonesia, the Philippines, and India.
Cause and Consequences
Specifically, about 2,200 cord blood samples in one storage tank were found to be damaged, and an estimated additional 5,300 samples in another tank were deemed non-viable. The cause has been identified as insufficient liquid nitrogen levels in the storage tanks, leading to temperatures rising above permissible levels.
Community Reaction
On April 17th, Cordlife filed a report with the police, alleging that several employees, most of whom had resigned, might have been responsible for the mishap. The former CEO and five board members were arrested earlier this year on charges of failing to disclose information as per company regulations.
Investigation and Legal Action
Three other board members, including those who reported to the police, have postponed their interviews with the authorities. The incident at Cordlife’s stem cell bank is one of the worst scandals to hit the cord blood storage industry, raising concerns about the marketing promises of companies when there is no concrete evidence of their service’s effectiveness.
Parents’ Outrage
Storing umbilical cord blood immediately after a baby’s birth is a service many parents opt for, intending to use these stem cells to treat potentially serious diseases their child may face in the future. The group of parents affected by the scandal is considering various legal actions. Some parents have rejected Cordlife’s refund offer, deeming it inadequate.
Cordlife’s Response
In an email response, Cordlife stated that they had reviewed operations in other markets and found no cause for concern. However, the incident has made customers in other countries within the region anxious, with parents in Hong Kong expressing concerns online about the company’s storage quality in their area.
Medical Perspective
In reality, many health organizations do not support the use of private cord blood banks. Both the American Academy of Pediatrics and the American Medical Association do not recommend storing cord blood as a form of “biological insurance.” According to these bodies, there are usually available alternative treatments that are more effective and less costly.
The Future of the Cord Blood Storage Industry
The Cordlife incident highlights the difficulty in monitoring the industry and the high cost of investigations when issues are detected. The Ministry of Health’s investigation began with a complaint in July 2023 from a citizen, after the company completed a routine inspection at the end of 2022.
