Keith Berman, the CEO of Choice Diagnostics Corporation (DECN), was arraigned for securities fraud after financiers bought stock in his business hoping to profit from an advanced COVID-19 test which, in truth, did not exist.
Berman claimed that his business had actually established a test that could detect COVID-19 from a drop of blood within 15 seconds. Berman informed financiers via press releases that the test would be ready for the commercial market in the summer season of 2020 and raised millions of dollars in funds to support the product.
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Berman allegedly concocted the story to drum up financial support for his stopping working company. Financiers were apparently informed that DECN’s COVID-19 test was on the edge of being approved by the U.S. Food and Drug Administration (FDA). That news triggered DECN’s stocks to increase by more than 1,500 percent between March and April of 2020.
DECN had actually not made an application for the federal government approvals or waivers required to market its purported COVID-19 test. The Korean supplier that Berman had actually used to develop the test informed Berman that the technology utilized in the testing kit could not in fact detect COVID-19 This information was not divulged to financiers.
Using the alias “plutoniumimplosion,” Berman presumably hyped DECN on internet online forums to supply incorrect details to investors. According to the Department of Justice, Berman published that the demand for DECN’s screening kits would be near 3 billion systems. Berman allegedly denied making the posts while affirming before the SEC.
Berman was charged with one count of securities fraud and one count of making incorrect declarations. Newsweek reached out to DECN for remark.
Blood-testing chicanery also led to the closure of Theranos, which declared to possess innovation that could perform any blood test with a sample only consisting of a few drops of blood. After reports emerged that the innovation did not live up to the company’s claims, potentially offering incorrect test results, Theranos closed its doors in 2018.
Theranos founder Elizabeth Holmes and previous Theranos CEO Ramesh Balwani were charged with two counts of conspiracy to commit wire scams and 9 counts of wire scams in 2018.
https://covid19globalcases.com/ceo-charged-with-scams-in-15-second-covid-test-plan/
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