Commercial implants

Commercial implants

In 2002, the VeriChip Corporation (known as the "PositiveID Corporation" since November 2009) received preliminary approval from the United States Food and Drug Administration (FDA) to market its device in the U.S. within specific guidelines. The device received FDA approval in 2004, and was marketed under the name VeriChip or VeriMed. In 2007, it was revealed that nearly identical implants had caused cancer in hundreds of laboratory animals.[1] a revelation that had a devastating impact on the company's stock price. Some time between May and July 2010, the Positive ID Corporation discontinued marketing the implantable human microchip.[2]

In January 2012, the VeriTeQ Acquisition Corporation acquired the VeriChip implantable microchip and related technologies, and Health Link personal health record from PositiveID Corporation. VeriTeQ is majority owned and led by Scott R. Silverman, former Chairman and CEO of PositiveID and VeriChip Corporation. PositiveID has retained an ownership interest in VeriTeQ.[3]

[edit]Medical records use

The PositiveID Corporation (previously known as The VeriChip Corporation; Applied Digital Solutions, Inc.; and The Digital Angel Corporation) distributed the implantable chip known as the VeriChip or VeriMed until the product was discontinued in the second quarter of 2010. The company had suggested that the implant could be used to retrieve medical information in the event of an emergency, as follows: Each VeriChip implant contained a 16-digit ID number. This number was transmitted when a hand-held VeriChip scanner is passed within a few inches of the implant. Participating hospitals and emergency workers would enter this number into a secure page on the VeriChip Corporation's website to access medical information that the patient had previously stored on file with the company.

According to some reports, in 2006 80 hospitals had agreed to own a VeriChip scanner provided by the company and 232 doctors had agreed to inject the devices into patients who requested them.[4] However, the VeriChip Corporation/Applied Digital Solutions was sued by its shareholders for making "materially false and misleading statements" regarding hospital acceptance figures. According to Glancy & Binkow, the law firm that filed the class action suit:

"...on May 9, 2002, defendants [the then Applied Digital Corporation] claimed that nearly every major hospital in the West Palm Beach, Florida area would be equipped with VeriChip scanners, an indispensable component of the Company's VeriChip technology. However, one day later on May 10, 2002, the truth was disclosed that no hospital had accepted a scanner, an essential device for retrieving the VeriChip's information. Following the May 10, 2002, disclosure, the price of Applied Digital stock again fell sharply, dropping nearly 30% in a single day."[5]

[edit]Building access and security

The VeriChip Corporation has marketed the implant as a way to restrict access to secure facilities such as power plants. Microchip scanners would be installed at entrances so locks only work for persons whose chip numbers are entered into the system. Two employees of CityWatcher, an Ohio video surveillance company, had RFID tags injected into their arms in 2007. The workers needed