A company that tried to sell 500,000 N95 respirators to the state of Minnesota at prices far above retail has been told instead to surrender the masks because they are counterfeit.
Officials with the state Department of Administration, which stockpiles backup supplies for health care workers, announced Tuesday that Supply Link, Inc., is complying with a cease-and-desist letter to immediately turn in the counterfeit masks.
Once received, the respirators will be given to 3M Co. for destruction.
"Part of sourcing scarce personal protective equipment in an intensively competitive environment is ensuring authenticity and effectiveness before delivery to health care facilities," Administration Commissioner Alice Roberts-Davis said in a statement Tuesday.
Matthew Kaspar, president of Supply Link, confirmed via e-mail that the masks it obtained for the state from another supplier had turned out to be counterfeit.
"Supply Link is a victim of what appears to be an elaborate and professional counterfeit operation," Kaspar's e-mail said. "Due diligence prior to shipment of the masks to Minnesota was extensive and included the review and cooperation of the State."
Supply Link said it was cooperating fully with 3M and state officials, and has initiated its own investigation "to determine the source of the counterfeit goods."
The company intends to work with state or federal agencies pursuing the matter, and will take "whatever legal steps are necessary to enforce its own legal rights."
N95 respirators are tightfitting masks that filter out tiny particles in the air, including those that can carry the SARS-CoV-2 virus. The masks allow health care workers to breathe the same air as COVID patients, when correctly fitted to get an airtight seal against the face.
State officials said they didn't lose any money in the transaction. Rather than paying more than $2 million up front for the 500,000 respirators, the state sent the masks to 3M for verification. When 3M determined the masks were counterfeit, the Maplewood manufacturer sent the cease-and-desist letter.
The company said it's working with governments around the world to prevent fraud and price-gouging. To date, more than 7 million counterfeit respirators have been seized.
In August, the Star Tribune featured Supply Link in a story about N95 respirators, noting it was offering access to as many as 2 million masks for $4.75 apiece. State officials said they were interested but wouldn't pay up front.
The state has been able to buy authentic 3M respirators from the major health care supplier McKesson for no more than $1.19 each. Those respirators are arriving in monthly batches through the end of 2021.
Supply Link is known for selling thermometers for vaccine quality assurance and has done business with the state for years. Kaspar said at the time that the entire respirator industry had become muddled with dishonest brokers.
