The black market laboratory in Fresno County, which was raided earlier this month by the Centers for Disease Control and Prevention, was reportedly making illegal Wuhan coronavirus (COVID-19) tests and was a cesspool of infectious diseases including the coronavirus, malaria, rubella, HIV, chlamydia, E. coli, pneumonia, hepatitis and herpes. Federal agents also found other kinds of hazardous materials, medical waste and over 1,000 lab mice.

According to public records, the biolab previously tied to Universal Meditech Inc. (UMI), received $149,824 from the federal government through a COVID-19-era loan program. The loans were disbursed in April 2020 and February 2021.

UMI also secured a $360,000 income tax credit through the CalCompetes program of Gov. Gavin Newsom in 2018. However, UMI's failure to meet program guidelines prevented the actual disbursement of those funds.

The company eventually filed for bankruptcy in 2022, paving the way for its acquisition by Prestige BioTech, a company reportedly owned by people based in China, including one mysterious man named Xiuquin Yao, who was listed as the president of Prestige BioTech.

While it produced COVID-19 tests illegally, at the time of the raid the lab was operating legally and the facility was properly licensed and permitted by the state to produce pregnancy, ovulation and menopause diagnostic tests.

Biolab has a potential connection with the spread of COVID-19 pandemic

At the time of the raid, local authorities and federal agencies discovered 900 genetically engineered mice living in distressing conditions, while another 175 were discovered dead. Subsequently, 773 of the mice were humanely euthanized due to their dire condition.