The Trump administration reportedly awarded a $55 million contract for N95 protective masks to a company with no medical supplies experience and whose parent company filed for bankruptcy.
The Federal Emergency Management Agency gave the contract in April to Panthera Worldwide LLC, which is in the business of tactical training, the Washington Post reported.
One of its owners said last year that Panthera’s parent company hadn’t had any employees since May 2018, according to sworn testimony, the Post reported. It also has no history of manufacturing or procuring medical equipment, the news outlet reported.
Panthera Worldwide’s parent company filed for bankruptcy last fall, and the LLC is no longer recognized in Virginia — where it has its main office. James Punelli, one of the company’s executives, said he’s working his military contacts to obtain the masks.
“We’ve done DoD medical training over the years and through those contacts with that community were brought sources of supply in order to assist in the COVID-19 response,” Punelli told the Post.“We made the connection with FEMA and offered these supplies to them.”
But Chuck Hagel, a former defense secretary, told the Post something was "amiss" about this order. "This is not how the government procures training or any type of supplies," he told the Post."You just wouldn't do business with somebody like that."
A FEMA representative told Business Insider the ordered equipment hadn't arrived yet but that Panthera had provided written confirmation that the masks were in the shipping phase of delivery, which is set for April 23.
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