Cord blood and CHA Hospital

On February 11, 1533, the 28th year of King Jungjong’s rule of the Joseon Dynasty, the king was greeted by chiefs of medicine, saying, “We are highly pleased to see king’s health is improving.” Bowing their heads for grace, they confessed what they had served to the king and told him that the medicine was more effective when its ingredients were unknown. The secret ingredient was placenta. Donguibogam, a collection of principle and practice of Eastern Medicine, says placenta is good for stamina, relaxation and skin ailment. Interestingly, placenta is all the rage in Korea after the news was delivered that President Park Geun-hye received an injection of placenta.

A fetus receives nourishment from the placenta of mother through an umbilical cord, and blood in the umbilical cord is called cord blood. Unlike a regular blood, the umbilical cord blood is rich in stem cells that can be applied to treatment of incurable diseases such as childhood cancer and dementia. Therefore, if the umbilical cord blood collected after childbirth is stored in a freezer for future use, it can be applied for treatment of disease of the baby or family. This is how the cord blood banking services started to generate revenues. Ironically, it was President Park who submitted a Proposal of Cord Blood Management in 2009, while she was serving as an assembly woman. The proposal was intended to prevent transaction of cord blood freely.

Since the Cord Blood Management Act was approved in 2011, practices such as transaction of cord blood or using cord blood for aging treatment or beauty treatment at an unauthorized medical institute are considered illegal. Recently, CHA Hospital in Bundang got caught after using cord blood, donated for the purpose of research, for nine illegal treatments of CHA Medical Group Chairman Cha Kwang-yul and his father Cha Kyung-sup. In addition, Chaum Medical Clinic was suspended for three months after false advertisement as a medical institute specialized in aging and health management, though the clinic was not authorized by the Ministry of Health and Welfare for use of cord blood. If President Park and Choi Soon-sil, who were reportedly regular visitors of Chaum, received cord blood treatment, they cannot be innocent from the clinic’s illegal practice.

The Cha family opened up CHA OB/GYN in 1960 and has expanded its business into CHA hospital in Gangnam, CHA hospital in Bundang and CHA University. Cha Kwang-yul has been an avid supporter donation and provided 32 billion won (26.5 million dollars) worth of scholarship during the Asian financial crisis. His father Cha Kyung-sup was a winner of the Good Father Prize in 1995. Cha Kyung-sup, turning 99 next year, might have earned his longevity thanks to cord blood treatment. As the saying goes, reputations are hard won, but easily lost.

leej@donga.com