As far as I know, the arrest of four men in Budapest, Hungary, as reported by Reuters, is the first stem cell treatment bust. (I’m curious if anybody has any info that says otherwise.) According to the Reuters report:
"Hungarian police have detained four people on suspicion of carrying out illegal, untested stem cell treatments using embryos or aborted fetuses at a Hungarian private clinic, police said in a statement."
And there’s a U.S. angle…
" ‘There is well-founded suspicion that a U.S. citizen called Julliy B. has carried out stem cell treatments for money within the framework of a Hungarian stem cell research laboratory and a Hungarian-owned private clinic since 2007,’ police said."
Here are a few h+articles related to the state of the state and stem cell medicine