Update: Larry Stowe Surrenders in ‘60 Minutes’ Stem-Cell Case

Updated at 5:10 p.m. Jan. 9, 2012

Larry Stowe—the former La Mesa shop owner depicted on 60 Minutes as a 21st century snake-oil salesman—turned himself into authorities Friday in the wake of an arrest warrant issued in his case.

“He did turn himself in and was released on bond,” said Angela Dodge, a public affairs officer for the U.S. Attorney’s Office in southern Texas.

Citing court records, a Rio Grande TV station’s website said Monday that Stowe surrendered to authorities Friday in Chicago.

 “The Texas man appeared before U.S. Magistrate Judge Young B. Kim in Chicago where he was issued a $5,000 bond,” said ValleyCentral.com.

Stowe had been a fugitive for nearly two months.

Scott Pelley of 60 Minutes reported Sunday that Stowe and partners made $1.5 million in their operation.

Among other things, Stowe is accused of shipping blood samples from his Village office in a scheme to defraud patients.

Nearly two years after Stowe’s BioTherapy Medical Oasis was shown on national television, he is being targeted for allegedly marketing and selling stem cells and other biological products for unapproved treatments of cancer, ALS, MS and Parkinson’s Disease.

“This investigation identified a scheme whereby the suffering and hopes of victims in extreme medical need were used and manipulated for person profit,” said FBI Special Agent in Charge Cory Nelson, quoted in the Houston Chronicle.

 “The predatory and opportunistic nature of the crimes alleged in this indictment mirrors images from science fiction,” Nelson told the newspaper.

Stowe operated The Stowe Foundation and Stowe Biotherapy Inc., and the sale of his space was the subject of several Patch stories.

A Nov. 10 indictment unsealed Tuesday cites Stowe Biotherapy Inc., “incorporated in California with a physical address of [8341] La Mesa Boulevard in La Mesa, California. Stowe Biotherapy mainly focused on the promotion of an unproven medical regimen and the distribution and sale of drug and biological products to treat cancer, ALS, MS, Parkinson’s and other incurable diseases.”

Stowe provided medical advice to patients suffering from cancer, ALS, MS, Parkinson's disease and other incurable diseases and commonly used the name ‘Dr. Larry Stowe,’ ” the indictment said.

“Stowe promoted and sold drug and biological products for the treatment of cancer … and other incurable diseases. Stowe was not licensed to practice medicine in any state of the United States.”

He shipped blood extracted from patients “for the purpose of growing bacteria from the blood that was later used to create an unapproved drug and biological product,” the government alleges.

Of 19 shipments cited, four were from La Mesa to College Station, Texas. Samples from patients named K.B., J.B., L.C. and W.B. were shipped between Aug. 31, 2007, and Nov. 8, 2008, according to the indictment.

One blood sample—from patient B.H.—was shipped from Del Mar to College Station on Dec. 19, 2006, the government alleges.

Three other men were arrested for their part in a scheme to manufacture, distribute and sell to the public stem cells and stem cell procedures that were not approved by the FDA, U.S. Attorney Kenneth Magidson announced Wednesday along with Assistant Attorney General Tony West of the Department of Justice’s Civil Division, Special Agent in Charge Patrick J. Holland of the FDA—Office of Criminal Investigations and the FBI’s Nelson.

According to a statement:

Francisco Morales, 52, of Brownsville, Texas, was arrested by Customs and Border Protection agents pursuant to a arrest warrant late Dec. 22, 2011. He made his initial appearance the following morning at which time he was ordered held without bond. Alberto Ramon, 48, of Del Rio, Texas, and Vincent Dammai, 40, of Mount Pleasant, S.C., were arrested yesterday. ... Lawrence Stowe, 58, of Dallas, Texas, also charged in relation to this case, is considered a fugitive and a warrant remains outstanding for his arrest. The two indictments in this matter, returned Nov. 9 and 10, 2011, have been unsealed by order of the court.

“Protecting the public from unproven and potentially dangerous drug and medical procedures is very important,” said Magidson. “This office will continue to prosecute violations involving threats to the public health.”

“This investigation identified a scheme whereby the suffering and hopes of victims in extreme medical need were used and manipulated for personal profit,” said Nelson. “The predatory and opportunistic nature of the crimes alleged in this indictment mirrors images from science fiction.”

Correspondent Pelley’s 60 Minutes report piqued the interest of  federal regulators, including the Food and Drug Administration, La Mesa police Capt. David Bond said last year.

“When LMPD learned about Mr. Stowe, we contacted the District Attorney’s Office and FDA and determined that it was being investigated by the FDA, Texas Division,” Bond said in September 2010.  “LMPD did not conduct an investigation into this matter.”

The Medical Board of California launched a probe based on the allegations of Stowe's unlicensed medical activity, but eventually closed the inquiry, citing “insufficient evidence to proceed,” board spokeswoman Candis Cohen told La Mesa Patch at that time.

But Dr. Gregory Melvin, a chiropractor whose Total Thermal Imaging business shared space with Stowe inside the 8341 La Mesa Blvd. location, said Stowe would visit every three months for a couple of days.

Any visitors to Stowe’s office here were from “outside the area,” Melvin said.

Mayor Art Madrid said that after the 60 Minutes broadcast  of April 18, 2010, he had “extensive discussions” with the executive producer of the program at his New York office.

“I was unable to talk with Scott [Pelley] because he went on vacation immediately after the show aired,” Madrid said.

Stowe BioTherapy was a member of the Village Merchants Association and operated here for “maybe five years,” said bookshop owner Deena While, a director of the downtown group.