Still no VPL mask sales, FTC questions contract discussions
About a month ago this was the status of VPL Medical’s mask sales:
As of February 24, 2021, no new sales contracts have been executed.
As per a joint status report filed on March 26th, here’s the latest:
As of March 24, 2021, no sales contracts have been executed.
Whilst VPL might not have any buyers, production is actually happening.
Up to February 2, 2021, 130,800 masks were manufactured. From February 3 through February 24 an additional 370,172 masks were manufactured for a total of 500,972 masks.
From February 25 to March 23 an additional 1,206,350 masks were manufactured for a total of 1,707,322 masks produced to date.
Getting to this point has cost $1.2 million, straight out of the Receivership’s coffers.
Despite nothing eventuating so far, communications cited by Jason Cardiff include talks with
- FEMA to provide children’s masks
- Defense Logistics Agency Troop support to provide “ASTM level 3 surgical masks and children’s masks”
- Brigadier General Sandford and his staff “regarding stockpile and children’s masks”
- VPL’s Congressperson
- the Senator for Maryland and his staff to “set up a meeting”
- Michigan Senator Stabenow’s office to arrange a Zoom meeting
- VPL’s California Senator, ‘who has stated she will “make it her mission to get California to buy VPL”‘
- Ian Sugar to get VPL listed as a “Washington DC Partner”
- Liberty Partners to secure a 250 million HHS mask contract
- the National Education Association and American Federation of Teachers to set up meetings regarding children’s masks
- Cal-Trans ‘to discuss sale of both Adult and Children’s masks’
The FTC however aren’t convinced.
The only information now being provided to the Commission or the Court is an unsworn email from Jason Cardiff listing conversations and potential meetings that supposedly present opportunities for future sales.
This is a far cry from the very detailed discussions with federal agencies and other potential purchasers recounted by counsel at the last hearing.
The Court can correctly conclude from the dearth of serious written exchanges with potential buyers that VPL will not succeed any time soon in obtaining contracts for the sale of masks.
Pertaining to those “detailed discussions”, the FTC is kicking up a stink over Cardiff having so far been unable to provide the FTC with evidence of discussions predating March 5th.
After agreeing to provide evidence of cited “detailed discussions” in court, none have thus far been provided.
Attached email correspondence shows repeated attempts to obtain the evidence by the FTC being brushed off by Cardiff’s attorney.
With respect to the touted Amazon sales, VPL haven’t acknowledged it but the FTC is claiming the plan has “fallen through”.
The FTC notes “there is now less than $1,000,000 in the Receivership Estate”, and that VPL is draining those funds at a rate of “more than $200,000 per month”.
Accordingly, the Commission respectfully requests that the Court order VPL to be shut down, in order to preserve assets for the consumer victims of the Cardiffs’ fraud.
In the event the court decides to keep VPL open, the FTC is demanding Cardiff be held to producing evidence of “efforts to sell masks” from February 1st, 2021.
The aim of this is to push for the closure of VPL if “no contracts are obtained in the next 30 days”.
Looking forward the court has yet to make a decision on the fate of VPL.
We’re expecting a decision sometime over the next thirty days, failing which the filing of another status report.