GREEDY? 'Shark Tank' Star Accused Of Inflating Price Of Face Masks In Florida
Most countries have announced scarcity in medical equipment and protective gear as the coronavirus pandemic continues to sweep across the globe.
The U.S. health authorities initially advised the public against wearing face masks as it amplified the risk of frontliners being unable to get them. The Centers for Disease Control and Prevention (CDC) even released guidelines saying that masks are only needed to be worn by healthcare workers, the sick, and those caring for them.
However, as the confirmed cases increase rapidly, health officials have softened their stance and recommended the general public to wear cloth masks to contain the spread of coronavirus.
With this, the demand for face masks has escalated and has prompted entrepreneurs to sell them at premium prices.
Shark Tank Star Accused Of Selling Overpriced Face Mask
Just recently, "Shark Tank" star Daymond John has been accused of trying to sell high-priced N95 masks to the state of Florida.
According to Miami Herald, the Shark Group CEO offered to sell 1 million masks from China at a rate of $7 each-- which is three times higher than the regular cost.
"He came to me and said, 'I've been in the clothing business. I have connections with factories in China,'" Florida Department of Emergency Management Director Jared Moskowitz mentioned.
Despite the overpriced surgical masks, the state had no option but to accept the offer as they were desperately in need of medical gears.
However, the multi-million dollar transaction fell through on April 13, but the outlet failed to detail as to why the deal was not pushed through.
Following this, the Shark Group is among the companies being looked at by Minnesota-based 3M -- the largest maker of N95 face masks in the U.S. -- in their bid to fight against fraudulent vendors.
As cited by Fox News, 3M released a statement saying that the Shark Group is not an authorized distributor of N95 and they are "not aware" how the company gained access to acquiring the said items.
"3M list prices, which are published on our website, are far lower than what appears to have been offered to the State of Florida," the statement furthered.
The company added that they are filling lawsuits to "third parties" who were caught engaging in "price gouging" of N95 masks.
"3M is filing lawsuits in cases where third parties use the company's name, brand or trademark to engage in price gouging of N95 respirators and other illegal and unethical behavior. We have no knowledge of whether that occurred in this situation," the statement furthered.
Daymond John Slams Miami Herald Against False Reports
However, the retail mogul clapped back against the Miami Herald and denied all the allegations being thrown at him.
John mentioned that it "shows a complete reckless disregard for the truth" and insisted that he did not set the prices.
"My company was serving as an intermediary to vet the numerous 3M distributors and to protect Florida taxpayers while establishing escrow protections that allowed the state to conduct proper due diligence before finalizing its purchase of masks."
