'Australian' investigated for mask stockpile scam: report

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A healthcare union, Pittsburgh businessman and several hospitals and government agencies were all caught up in the elaborate fraud.

An Australian is being investigated by the FBI over a massive stockpile of 39 million safety masks that has reportedly been unveiled as an elaborate scam.

The union, known as SEIU, and the Pittsburgh businessman are not under investigation and both appear to be among a string of middlemen who were fooled, Brady said.The promise of 39 million masks was first made public March 26, when the union announced it had found the stockpile after 48 hours of frantic phone calls pursuing leads on potential suppliers. The announcement by the union was widely covered by major media outlets and listed several hospital systems and government agencies as buyers.

At one point, the Australian broker told the middleman in Pittsburgh that 2 million masks were located in a warehouse in Georgia and that the product had been inspected by a particular certification company.No money was exchanged in the attempts to finalise a deal, according to Brady.

 

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