LOS ANGELES – Keith Lawrence Middlebrook, a 56-year-old part-time actor from Huntington Beach, California, has been found guilty of 11 counts of wire fraud for soliciting investors in shell companies that peddled a bogus COVID-19 cure and treatment.
Middlebrook, who remains free on $150,000 bond, was convicted of defrauding victims in California, Nevada, New York, Texas, and Colorado with false promises of a miracle cure and treatment, which he called “QC20” and “QP20.”
According to evidence presented at a three-day trial, Middlebrook solicited potential investors via text messages, videos, and statements posted on YouTube and Instagram, claiming he had personally developed a “patent-pending” cure and treatment for COVID-19.
The scam was elaborate, with Middlebrook lying to victims that a party in Dubai had offered to purchase his companies for $10 billion and that he had secured funding from seven investors who had each already invested between $750,000 and $1 million.
Middlebrook also falsely claimed that former Los Angeles Lakers point guard Earvin “Magic” Johnson was a director and officer of his company, further deceiving victims into investing their money.
However, the FBI was onto Middlebrook’s scheme and arrested him in March 2020 after he delivered pills – purportedly the treatment that prevents coronavirus infection – to an undercover agent posing as an investor.
United States District Judge Dale S. Fischer has scheduled a September 9 sentencing hearing, at which time Middlebrook will face a statutory maximum sentence of 20 years in prison for each wire fraud count.
Assistant United States Attorneys Kenneth R. Carbajal and Joseph S. Guzman, both of the General Crimes Section, are prosecuting this case. The FBI investigated this matter.
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Key Facts
- State: California
- Agency: DOJ USAO
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: Official Source ↗
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