Reedley biolab operator found guilty on 12 counts of fraud
SACRAMENTO – The man behind the illegal biological laboratory discovered in Reedley more than three years ago has been found guilty on multiple counts of fraud.
A jury found Chinese citizen and former Clovis resident Jia Bei Zhu — who has also been referred to in news reports as Qiang “David” He — guilty of all 12 counts of fraud charged against him in federal court. After a two-week trial in Sacramento, the jury delivered the verdict for the Eastern District of California on May 6.
Reedley City Manager Nicole Zieba said that while she and her staff could not be at the trial in person, they heard from those present that the case was entering into closing arguments on May 5.
“So for about the last 24 hours I’ve been on pins and needles,” Zieba said. “It was such a relief today to hear he was guilty on all 12 counts. … It really feels validating.”
In a May 6 press release, U.S. Attorney Eric Grant announced the guilty verdict for fraudulently selling more than one million COVID-19 tests for nearly $4 million through Zhu’s Fresno-based company Universal Meditech Inc. Zhu was also found guilty of lying to the Food and Drug Administration about his identity and role with the company.
Zhu’s conviction includes one count of conspiracy to commit wire fraud, eight counts of substantive wire fraud, two counts of distributing adulterated and misbranded medical devices and one count of making a false statement to the FDA.
According to a press release from the U.S. Attorney’s Office, Eastern District of California, Zhu’s romantic partner Zhaoyan Wang has also been charged in the case; however, she fled the country shortly before Zhu’s arrest. Wang remains a fugitive from justice in China, the U.S. Attorney’s Office said.
“This verdict holds the defendant accountable for actions that exploited a public health crisis for his own gain,” Grant said in the press release. “He flouted the lawful authority of the FDA and deliberately deceived the public by repackaging low-quality, foreign-made test kits at a time when accuracy and reliability were critical.”
Grant noted that this conduct, which was also tied to the illegal operations discovered at the 850 I St. lab in Reedley, put lives at risk. According to the press release, individuals who purchased COVID-19 tests from UMI said the tests were missing basic components and could not detect the virus.
“Our office remains committed to prosecuting those who endanger the public through fraud, especially in matters affecting the health and safety of our communities,” Grant said.
The Reedley biolab was discovered through a code enforcement violation in late December 2022. All that remains at the location are pallets of the misbranded, fraudulent test kits that the state has not been able to dispose of yet.
Zieba said a hearing in front of a Fresno County judge is scheduled for early June, at which time the California Department of Public Health is hoping to receive a final order for the destruction of the tests. She said a contractor to destroy the tests is already lined up, and once they are removed, the city plans to work with the property owner of 850 I St. to either get the building up to code or demolish it.
Although the verdict wraps up some aspects of the Reedley biolab situation, Zieba said there is still a lot of work to be done — none of the charges against Zhu relate to his holding of hazardous, improperly stored pathogens.
To address this, Rep. Jim Costa has now twice introduced a law intended to address this on the federal level. The bill, named the Preventing Illegal Laboratories and Protecting Public Health Act, stalled in a committee in the House of Representatives when it was first introduced in 2024.
Though reintroduced with partisan support from Rep. David Valadao in October 2025, the bill has not gone anywhere. It was referred to the House Committee on Energy and Commerce when introduced and no action has been taken since then, according to federal legislative tracking.
“So today we’re going to sit back and celebrate, and we’ll get back to work on that tomorrow,” Zieba said.