3M, parent company of Top 40 promo products supplier 3M/Promotional Markets (asi/91240), has scored another court victory in its ongoing fight against fraud and price gouging connected with its N95 respirator masks, which are experiencing unprecedented demand amid the coronavirus pandemic.

On Aug. 13, 3M and KM Brothers Inc., along with its related companies, agreed to a settlement in federal court in California. KM proprietor Mao Yu and his companies KM Brothers, KMJ Trading Inc., and Supreme Sunrise Inc. agreed to pay 3M or a charity of 3M’s choice almost $200,000. Yu’s companies will also stop selling 3M products and he admits that his companies infringed on 3M trademarks.

According to the 3M lawsuit, Yu and his companies defrauded customers by charging what 3M’s complaint said were “grossly inflated” prices for fake, defective and damaged masks. 3M noted that Yu’s businesses sold N95 masks on its Amazon accounts for an average price of $23.21 each, making $350,000. The list price for N95 products is $1.27, according to 3M. Amazon has banned Yu’s accounts.

“3M customers deserve authentic products at fair prices, and this scam [was] aimed at exploiting the demand for our critical products during the pandemic,” said Denise Rutherford, 3M senior vice president of corporate affairs.

With estimated 2019 North American promotional product revenue of $88.4 million, 3M/Promotional Markets ranked 17th on Counselor’s most recent list of the largest suppliers in the industry.

Throughout the COVID-19 pandemic, 3M has been filing suits against entities and individuals it accuses of exploiting the rampant demand for N95 masks to rip off consumers. In June, for instance, 3M achieved another successful settlement against a Florida company in a price gouging case.