Biden Admin Grants $86M to Company Accused of Selling Fake COVID Tests
CorDx Accused of Selling Counterfeit COVID Test Kits Manufactured in China
The Biden administration has come under fire for granting $86 million to CorDx, a company accused of distributing fake COVID test kits made in China, as revealed by records obtained by the Washington Free Beacon.
In September, the U.S. Department of Health and Human Services announced the funding to CorDx, a manufacturer of COVID test kits, with the aim of providing free testing products to American households and boosting domestic manufacturing.
However, the obtained records raise concerns about the quality of CorDx’s testing kits and its ability to manufacture them domestically. A competitor of the company alleged that CorDx sold counterfeit kits with a false brand name, violating FDA regulations, and that the tests were being produced in China.
This news comes at a time when the Biden administration is facing scrutiny over fraudulent COVID spending and is working to ensure that funds are spent within the United States rather than in China.
In February, Genabio Diagnostics, a COVID testing manufacturer, filed a complaint with the FDA accusing CorDx of selling a “counterfeit version” of Genabio’s FDA-authorized antibody tests.
Genabio claimed to have been alerted by a former customer about CorDx selling unauthorized tests at a lower price. An investigation conducted by Genabio’s law firm, Cooley LLP, allegedly discovered that CorDx was selling fake versions of the tests, falsely labeled with Genabio’s brand name.
According to Genabio, the counterfeit products had different packaging, lacked QR codes, and included different swabs compared to their authentic tests. The company provided photographic evidence of the contrasting testing kits along with their FDA complaint.
The FDA declined to comment on ongoing investigations.
In a letter to the Government Accountability Office, Genabio reiterated their concerns about the counterfeit tests and expressed their opposition to the HHS grant awarded to CorDx.
The complaint also alleged that CorDx’s U.S.-based facilities were inadequate for large-scale COVID test production and accused the company of manufacturing the tests in China.
Despite having facilities in the United States, CorDx has a history of producing products in China, including rapid tests for infectious diseases, fertility, and drug use.
The HHS grant was intended to strengthen U.S. supply chains and required companies to manufacture COVID tests domestically. The agency stated that the funding to CorDx would enhance the nation’s testing capacity.
HHS Secretary Xavier Becerra emphasized the importance of these investments in increasing domestic production of at-home COVID-19 rapid tests and curbing the spread of the virus.
While concerns have been raised about COVID relief funds being diverted to foreign actors, the Biden administration has pledged to prioritize domestic production through federal spending. However, Chinese companies have still received federal funding after establishing U.S. headquarters.
What legal actions can be taken against the third-party distributor that sold counterfeit COVID test kits under the CorDx name?
Rification test kit” that used their company’s name without permission. According to the complaint, the test kits were purchased from a third-party distributor and were found to be counterfeit upon testing. The complaint also alleged that the kits were manufactured in China, in violation of FDA regulations.
The acquisition of fake COVID test kits is a serious concern as it undermines efforts to combat the pandemic. Not only do these counterfeit kits provide inaccurate results, but they also pose a risk to public health. Fake test kits can fail to detect the virus, leading to false negatives, and can potentially miss infected individuals who may unknowingly spread the virus to others. Furthermore, the use of counterfeit kits may delay the identification and isolation of positive cases, further contributing to the spread of COVID-19.
The funding granted to CorDx by the Biden administration has raised questions about the diligence and oversight of the government in allocating resources for combating COVID-19. The $86 million provided to CorDx was intended to support the manufacturing and distribution of reliable test kits to American households. However, the accusations of selling counterfeit kits cast doubt on CorDx’s ability to deliver on this promise.
It is crucial for the government to ensure that companies receiving funding for COVID-19 initiatives meet the highest standards of quality and reliability. The safety and effectiveness of testing products should be the top priority, especially in the fight against a pandemic that has claimed millions of lives worldwide.
In response to the allegations, CorDx has stated that they have not received any complaints regarding the quality of their test kits and maintain that their products are FDA-approved. They have also emphasized their commitment to working with U.S.-based manufacturers to meet the demand for testing supplies within the country.
The Biden administration must address these allegations swiftly and take appropriate action to safeguard public health. This includes launching a thorough investigation into the claims made against CorDx and reassessing the protocols and criteria for selecting companies to receive funding for COVID-19 initiatives. Transparent communication and accountability are vital in restoring public trust in the government’s handling of the pandemic.
In conclusion, the accusations against CorDx for selling counterfeit COVID test kits manufactured in China is a serious matter that raises concerns about the safety and efficacy of testing efforts. As the Biden administration faces scrutiny over COVID spending, it is crucial for the government to ensure that taxpayer funds are being directed towards reliable and domestically manufactured testing products. The allegations against CorDx highlight the need for stronger oversight and stricter protocols to prevent the distribution of counterfeit medical supplies. Public health is at stake, and swift action must be taken to rectify this situation and restore confidence in the government’s pandemic response.
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