China’s nucleic acid testing is indeed a lucrative industry. In September, the BL reported that the net profit of ten testing companies exceeded 16 billion yuan ($2.3 billion) for the first half of this year. Some made a net profit of over 100 million yuan ($14.4 million) in just ten days.

However, the time to reap the rewards from the pandemic doesn’t last long.

Creaders.net reported on December 4 that the first testing company, Beijing Pushi Medical Laboratory Co., Ltd. went bankrupt.

In May, local authorities took criminal coercive measures against six employees at the testing lab since they fabricated the testing samples. The number of samples tested by the lab was less than those collected. At that time, the epidemic in Beijing was relatively severe, and the lab undertook a large amount of testing in the Fangshan District. Consequently, at least 21 areas went into lockdown, and nearly 900 people were quarantined.

One month later, Beijing Pushi had its license to practice as a medical institution revoked.

On November 23, the company publicly announced its intention to go bankrupt.

The company now has no property available for execution. Both of its major shareholders were arrested on suspicion of obstructing the prevention and control of infectious diseases.

Creaders.net commented on the situation by referring to an old proverb: You cannot earn money or gain from national disasters nor take food from the poor and vulnerable. 

However, many companies have benefited from the misfortune of others, and the first of them has been brought to light. Who’s next?

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