Unethical PPE Players in the Promotional Industry

As a result of the pandemic, many in the promotional products industry have turned to selling PPE to stay in business and help meet society's demand for the protective equipment. However, many promotional players in the Promotional Industry have acted unethically.

Dennis W. Haggerty Jr., president of At Diagnostics Inc., has been charged with wire fraud in a criminal complaint made public in Chicago's federal court. According to authorities, Haggerty and two business partners formed a spinoff company, AT Diagnostics, in March 2020 to sell personal protective equipment (PPE).

He cheated 2 large university hospitals located in Chicago and Iowa City - Northwestern Memorial Hospital and University of Iowa Medical Center. Both hospitals ordered a combined 1 million 3M N95 face masks last spring, paying $3 million as a deposit. Furthermore, the complaint alleges that Haggerty spent part of the hospitals’ funds for his own personal benefit, including purchasing two Maserati automobiles and a Land Rover SUV.

Haggerty’s arrest again highlights the focus federal investigators are devoting to stopping PPE fraud amid the ongoing COVID-19 pandemic.

Another promotional products distributor, the owner of Wasatch Promotional Products, John Anothony Taylor was also charged with wire fraud over allegedly claiming to have access to millions of N95 respirator masks from 3M when he did not have the masks or such access, according to the Federal Bureau of Investigation.

Not an authorized 3M dealer, Taylor made false representations, including fabricating a fake purchase order from 3M, and attempting to execute a bogus mask sale with an undercover agent, authorities say. He has sinced denied any wrongdoing and is scheduled to appear in federal court in May of 2021. 

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