A Chaotic Gray Market Determines Who Gets Coronavirus Gear—and Who Doesn’t

A few weeks ago, Mike Gula was negotiating millions of dollars of deals in the gray market for protective gear, in line for a huge profit. Mr. Gula, 39, had rocketed up to become among the largest brokers peddling masks and other medical equipment to states in need as they fight the new coronavirus.

Now, his deals with several states including California and Maryland have come undone. He is facing federal and state investigations. His firm, Blue Flame Medical LLC in Washington, D.C., is scrambling to secure supplies from…

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