. The SEC did not immediately respond to questions from The Salt Lake Tribune regarding whether there are other orders as part of the investigation, or whether the investigation is closed.
The TestUtah coronavirus testing initiative, which was launched in April 2020 by Nomi Health under a no-bid state contract worth millions,The testing company’s 2020 profits, according to the SEC, were inflated by two news releases that prematurely led investors to believe its COVID-19 tests were ready to be sold to health care providers.
While the company’s tests received early authorization from the European Union on Feb. 24, 2020, the U.S. Food and Drug Administration did not approve the tests to be sold for diagnostic purposes until April 3 of that year. Co-Diagnostics was further admonished for not properly disclosing transactions with executives’ family members — including Egan’s son, who was the director of sales, and Benson’s son, who served as the head of communications and investor relations. Both of their salaries quadrupled to over $1 million in 2020.