Faisal Shoukat, a former councillor on Calderdale Council, has been found guilty of running a bogus coronavirus testing laboratory during the Covid-19 pandemic. He was convicted of causing public nuisance, fraudulent trading and money laundering following a trial at Bradford Crown Court. Four other defendants—former justice minister Shahid Malik, Lynn Connell, Paul Moore and Dr Alexander Zarneh—were acquitted of all charges.
The verdicts were delivered by His Honour Judge Chris Smith after the jury was discharged in April during their deliberations. The discharge occurred when one juror was arrested on suspicion of conspiring to pervert the course of justice, leading the judge to continue the trial without a jury. According to reporting on the case, three Court of Appeal judges subsequently refused Shoukat leave to appeal the decision to proceed without a jury.
How the testing company was established
RT Diagnostics was established in March 2021 with Shoukat and Malik named as directors, following an invitation from the government to private companies to help meet demand for coronavirus testing, including so-called 'Fit-to-Fly' tests. Prosecutors characterised the 39-year-old Shoukat, who held the position of Labour councillor at the time, as the "controlling mind" of the Halifax-based operation.
The trial began in October 2025, with jurors commencing deliberations in March 2026 before being discharged the following month. According to court reporting, prosecutors alleged that RT Diagnostics generated £6.674m between 22 May and 6 June 2021, with £822,000 paid to Halifax Healthcare, a company operated by Shoukat, and £1.22m transferred into Malik's personal accounts.
What were the problems with the testing operation?
The court heard that test kits dispatched to customers, which were sourced from Turkey, failed to meet the required standards applicable in the United Kingdom. The laboratory also produced a "suspiciously low" number of positive test results. Between May and July 2021, the company reported 138,738 tests, of which only 45 were positive, 123,058 showed as negative and one was indeterminate.
In July 2021, a video released by The Sun newspaper documented tests being discarded in a side room. The footage also revealed the firm's laboratory at Park Works to be in severely poor condition, with rubbish scattered across the floor, exposed ceiling structures and bin bags left outside. Medical safety inspectors who visited the site on Lister Lane characterised it as a "building site" and noted evidence of people residing there.
According to court evidence, RT Diagnostics never obtained UKAS accreditation, despite claims on its website and test certificates stating that it held such accreditation. The company was removed from the government's list of approved test providers on 15 June 2021 following customer complaints. Prosecutors alleged that a separate company, Avery Labs Limited, was subsequently established.
What did the judge say about the operation?
In delivering his verdicts, Judge Smith criticised the company's "cavalier" and "careless" approach to the accreditation process, which would have been required to conduct testing operations legally.
What were the financial arrangements?
Shoukat, a pharmacist by profession, stated during the trial that he received approximately £1.5m in shares from the firm. Malik, who was visibly emotional upon being cleared of wrongdoing, was also paid a similar amount as a co-director, the court heard. However, Malik was not involved in the day-to-day management of the company and lived outside the United Kingdom for part of its brief operational period.
What were the outcomes for the other defendants?
Malik, aged 58 and residing on Colne Road in Burnley, was found not guilty of causing a public nuisance, fraudulent trading and money laundering. Connell, 65, of Wagon Farm in Ripponden, Moore, 57, of Plober Street in Burnley, and Dr Zarneh, 71, of Wood Lane in Halifax, were all acquitted of causing a public nuisance and fraudulent trading.
Key Facts
- Faisal Shoukat was convicted of causing public nuisance, fraudulent trading and money laundering in connection with operating RT Diagnostics
- The bogus testing laboratory reported only 45 positive results out of 138,738 tests conducted between May and July 2021
- Test kits sourced from Turkey failed to meet UK standards, and the laboratory facility was found to be in severely poor condition with evidence of habitation
- Four other defendants, including former justice minister Shahid Malik, were acquitted of all charges
- The trial proceeded without a jury after one juror was arrested on suspicion of conspiring to pervert the course of justice
