Former Novocell/JDRF Chief Hooking Up With CIRM

Alan Lewis, the fomer head of Novocell (now ViaCyte, Inc.) and the Juvenile Diabetes Research Foundation, will be joining the $3 billion California stem cell agency shortly, the California Stem Cell Report has learned.

It is not clear what his responsibilities will include or whether he will be serving as a consultant or on staff. The agency has been seeking a vice president for research and development for nearly a year.

CIRM President Alan Trounson created the vice president's position after Marie Csete resigned abruptly as CIRM's chief scientific officer about 12 months ago. Trounson said he would not fill the post of chief scientific officer. Instead, Trounson came up with the new VP position and said he would seek someone with industry experience. He seemed to have a candidate ready this spring. The CIRM board convened closed-door meetings to discuss compensation for the post, but the sessions ended with no announcement.

Lewis, however, could be filling another position either on staff or as an outside consultant. Lewis resigned as head of JDRF in May for personal reasons. He said he would be returning to Southern California to be with his family.

He joined JDRF in January 2010. He served as president of Novocell from 2006 until he left for the foundation. CIRM Chairman Robert Klein has also been involved in juvenile diabetes issues and was recognized in 2006 as “public service leader of the year” by JDRF. After Lewis left Novocell, it received a $20 million loan from the agency. ViaCyte/Novocell has received four awards from CIRM for a total of $26.3 million.

We queried CIRM concerning Lewis. The agency was noncommital. Lewis could not be reached for comment.

Fomer Top Exec at CIRM Hired by San Diego Firm

The former chief scientific officer for the California stem cell agency, Marie Csete, has landed at a San Diego firm, where she has been named executive vice president for research and development.

Csete resigned from her state government post last June, creating a bit of a stir. She told Nature magazine that her advice was not respected at the $3 billion stem cell agency.

Csete has joined Organovo, Inc., a privately held regenerative medicine company that is focused on creating tissue on demand for research and surgical applications.

The company's news release yesterday quoted the company's president, Keith Murphy, as saying,

"She has extensive experience in clinical transplant and is a leader in the understanding of stem cell behavior. In her previous role, Marie was instrumental in fostering translation of early technologies to practical results. Marie is an excellent fit to lead the company's efforts to move our therapeutic pipeline rapidly to the clinic."

Instead of filling Csete's position as chief scientific officer, CIRM President Alan Trounson created the new post of vice president of research and development. That job is not yet filled.

The only media coverage of Csete's appointment that we could find was in the San Diego Business Journal, a brief story by Heather Chambers.

CIRM Hires Levin to Help Find New VP

The California stem cell agency has hired the self-styled “boutique” executive search firm of Levin & Company, Inc., to help find a vice president for research, a new position created in the wake of the sudden departure of Marie Csete as chief scientific officer earlier this year.

According to CIRM, Levin has signed a $100,000 contract with the agency. Levin beat out Korn/Ferry International, McCormack & Farrow, Caliber Associates, Russell Reynolds Associates, Spencer Stuart and The A-list.

Csete announced her resignation in June and subsequently told Nature magazine that her advice was not respected.

CIRM President Alan Trounson created the new research and development position with an eye to attracting candidates with more commercial research backgrounds. CIRM's salary range for the position tops out at $332,000.

In its proposal, the firm said,

“While we recognize that CIRM may have limitations on what it can offer (such as a bonus), we have had demonstrated experience in recruiting for clients with similar restrictions, such as early stage companies which are unable to offer bonuses, or international clients which cannot provide an equity package.”

Levin has a long history in the life sciences industry. In its proposal, it said it had completed search assignments for CEOs for the following stem cell-connected firms: Osiris Therapeutics, Cellerant Therapeutics, StemCells, Inc., and ViaCell.

The firm said its CEO, Christos Richards (see photo), would personally lead the search, personally interview each finalist and negotiate the final package.

Levin projected a timetable of four to six months from the beginning of the search (Aug. 24) to the start date of the vice president. It said the period could be shorter but said “a search taking longer than six months leaves the potential for a dissatsified client.”

Levin, which has its corporate office in Boston, also has offices in San Francisco, Los Angeles and Pennsylvania.

CIRM Seeks Help in Search for Csete Replacement

The California stem cell agency wants to hire an executive search firm – its third such arrangement in the last four years – to recruit a successor to Marie Csete to lead the organization's scientific research efforts.

CIRM contracted with a search firm, Spencer Stuart, on two different occasions in the past in an effort to find a president for the $3 billion enterprise. Despite spending about $500,000, the searches never turned up a candidate who would accept the job.

In both cases, the two men who ultimately accepted the presidency surfaced by other means.

CIRM's latest effort calls for a timetable of no more than six months to find a vice president for research and development, a new position at the agency. The post would cover the responsibilities of CIRM chief scientific officer, the title that Csete carried.

Alan Trounson, CIRM president, said the new position is aimed at attracting candidates with more commercial research backgrounds.

The RFP said the salary is likely to be $180,000 to $332,000, although it left the door open to going higher. CIRM asked search firms to provide advice on salary levels based on “industry trends and best practices.”

The CIRM board has yet to approve creation of the new vice presidency although the RFP was posted 11 days ago. Bids from search firms must be in by Monday. The board takes up consideration of the new post on Thursday.

Here are links to funding for Spencer Stuart: 2005, 2008.

Csete Discloses Reasons for Resignation: Lack of Respect at CIRM

Nature magazine reported today that Marie Csete says she resigned as chief scientific officer of the $3 billion California stem cell agency because her advice was not respected.

Reporter Erika Check Hayden quoted Csete as saying,

"When it became clear to me that my considered clinical advice was not respected, I concluded that it made no sense for me to stay at CIRM."

Hayden also wrote,

“When Csete left Emory University in Atlanta, Georgia, to join CIRM in March 2008, she gave up her lab and divorced her husband John Doyle. He is a professor at the California Institute of Technology in Pasadena, an institution she would be inviting to apply for research funding and so needed to avoid contravening state conflict-of-interest laws. 'We were willing to sacrifice a lot for me to be in a position to make a positive impact at CIRM,' she says. 'I wanted to see it to the end.'

Hayden continued,

“Csete says she hopes her leaving will mark 'a new start' for the agency. 'I had tried everything I could to change what I think needed to change from the inside, and that was not going to happen,' she says. 'I felt I would have more impact by stepping away and advising the leadership of the board on my way out about ways to revise the structure and management of the agency to make it more optimal.'"

Csete's departure is likely to come up a teleconference meeting of the full CIRM board early tomorrow evening. The board is scheduled to consider a plan, posted this evening, to bolster support for the CIRM board. The meeting was called following a contentious session in San Diego earlier this month during which a number of “festering” issues surfaced.

In a reaction earlier to Csete's announcement, CIRM Chairman Robert Klein said he planned to contact each board member to discuss the matter, raising the possibility that he would be engaged in an illegal serial meeting.

We queried James Harrison, outside counsel to CIRM, about the plan. He replied last week,

“There will be no serial meeting -- the discussion will occur at our next meeting.”

Harrison referred to tomorrow's teleconference meeting.

We also asked Don Gibbons, chief communications officer for CIRM, whether Csete had a contract or was given severance from her $310,000-a-year job. He replied that she had neither. We asked Gibbons this evening whether CIRM has any comments on the Nature article today. He has not yet responded.

The public can take part in the tomorrow's meeting at teleconference locations in San Francisco (4), Los Angeles (4), Duarte, Sacramento, Elk Grove, La Jolla, Healdsburg, Irvine, Berkeley, Palo Alto, Stanford and Tucson, Ariz. See the agenda for specific addresses.