Last month, “Shark Tank” star Daymond John, the founder of Fubu and CEO of the Shark Group, stepped in to make an emergency deal to purchase N95 respirator masks from the company 3M for Florida health care workers. But that deal was abruptly scrapped when reports emerged that John was planning to sell the masks at triple their market price, The New York Times reports.
According to the Miami Herald, John approached Florida state officials with an offer, $7 million for 1 million masks — tripling the price per mask as they usually sell for under $2 each. The deal originally went through, and the purchase order was signed March 25, but by April 13 it had collapsed.
3M — the company that was meant to provide these masks — claims it was unaware of how the Shark Group has access to 1 million of its masks since Shark Group isn’t an authorized distributor with the company, Fox News reports. 3M also noted the higher price at which John was listing the N95 masks.
John released a statement Wednesday on Twitter addressing and denying the accusations, claiming he personally did not set any prices.
3M is already involved in another price gouging lawsuit against two defendants who were selling its N95 respirators for $17 each in Canada, the New York Daily News reports.