A Sydney businessman was given up to $110million by the government during the Covid pandemic to import gowns and face masks, most of which were useless, before he splashed millions on oceanfront properties.
Jack Reuben, 43, runs a relatively unknown online company called Australian Business Mobile (ABM), also known as BDirect, which ships electronics and homewares to consumers and sports 1.5 stars out of five on Product Review.
But when the pandemic began in early 2020, Mr Reuben’s company was contracted by the federal health department to import 50 million surgical masks into the country.
ABM then paid a company called Neumer Holdings – which is owned by two Australian brothers but based in Cyprus – almost $60million for the masks. Neumer Holdings then bought the masks from a supplier in China for $33million.
Neumer Holdings made $12.7million profit from the masks, while Mr Reuben’s company charged the government $11million more than it paid for the masks, according to the Australian Financial Review.
ABM then inked another deal with the health department in June 2020, worth $42million, for the delivery of four million isolation gowns. Similar deals were struck with a Cyprian company, which ultimately meant ABM pocketed about $7.5million.
It can now be revealed that Mr Reuben dropped about $15million on three properties in Sydney’s Eastern Suburbs in 2021, a year after the deals were made – adding to his existing $10million portfolio.
At around the same time, he was filmed shoving and harassing the host of A Current Affair, while screaming ‘1.5 metres!’ during an episode about a cosmetic surgeon which had nothing to do with him.
Pictured: Jack Reuben, a father-of-two who was given millions of taxpayer money during covid
Of the 50 million masks ordered from Chinese companies, 45.7 were deemed non-compliant and the National Medical Stockpile decided not to deploy them. There is no suggestion Mr Reuben and Neumer Holdings knew about these issues.
The surgical gowns had no defects.
According to property records, Mr Reuben and his family bought two apartments in Bondi in April 2021 for $3.95million, including one three-bedroom unit that overlooks the beach.
That same month, he started the bidding for a home in Dover Heights with Opera House views at $9million. His top bid was $10.25million, but he lost out to another couple.
In September 2021, a further $10.5million was dropped on a mansion in Dover Heights with seven bedrooms, nine bathrooms, a sauna, cinema, pool, enough parking for seven cars, and views of Sydney Harbour.
His family has also owned a five-bedroom house with a pool on Beach Road in North Bondi since 2014. The property cost $2.9million at the time, but is now worth about $5million.
Another five-bedroom Bondi Beach home has been owned by the Reuben family since 2009. It cost $1.9million at the time, is now worth about $5million.
Records indicate that property is rented for $2,400 per week.
The Australian Government Department of Health and Aged Care confirmed the $109million deal to Daily Mail Australia.
A spokesperson said there was a PPE shortage and the government entered into agreements for supplies to support the Covid response, including an arrangement with ABM.
Pictured: One of the Bondi Beach apartments Jack Reuben bought in April 2021, for a collective $3.95million
Pictured: The $10million Dover Heights mansion Jack Reuben’s family moved into in September 2021
Pictured: The $5million North Bondi home Jack Reuben’s family used to live in, and still own
Pictured: The $5million Bondi home Jack Reuben’s family bought in 2009, and now rent out for $2400 per week
‘The risk profile for this procurement was considered low to medium as ABM do not ordinarily supply PPE and they may not have been able to secure supplies of the surgical masks due to worldwide shortages,’ the department said.
‘As ABM was a distributor of large volumes of general merchandise, an assessment was made that ABM would have the connections and capability to move large volumes of PPE.’
Just months after dropping millions on eastern suburbs properties, Mr Reuben accidentally found five minutes of fame when he became the focus of a segment on Channel Nine program, A Current Affair.
Host Steve Marshall had tried to approach cosmetic surgeon Dr Daniel Aronov – also known as the ‘dancing doctor’ on TikTok – at a bagel shop in Bondi to discuss his surgical practices.
However, Mr Reuben jumped in the way and became an impromptu bouncer – stopping the television crew from interrupting Dr Aronov’s breakfast with his wife.
With his hand in Marshall’s face, the father-of-two started screaming ‘stay 1.5!’ – touting the Covid social distancing measures of the day.
‘Get out of my face, stay one-and-a-half metres, you like getting in people’s faces, go away,’ he continued, pushing and shoving the host.
Weeks later, the program ran a segment based entirely on Mr Reuben and his homewares and electronics delivery business BDirect – which had been charging customers about five times more than competitors for the same products.
Jack Reuben is pictured physically assaulting A Current Affair host Steve Marshall in 2021
Pictured: Jack Reuben after being intercepted by A Current Affair during a private Pilates class in 2021
Marshall intercepted Mr Reuben in the middle of a private Pilates class in a Bondi park. The host was was holding an air fryer which normally retailed for $115, but BDirect charged customers $599.
When asked why he became aggressive during the Dr Dan segment, Mr Reuben quickly distanced himself from the controversial surgeon – acknowledging they were friends on Facebook, adding, ‘I’m friends with lots of people on Facebook’.
‘I know of him, but I’m not friends with him, I don’t support him,’ he said.
When Marshall asked him about the overpriced items on BDirect, Mr Reuben changed the subject and apologised for his aggression weeks earlier.
‘I acted like a goose,’ he said.
‘I was embarrassed about my behaviour, and I’m very sorry, I didn’t know how to reach out to you.
‘I lost my temper, and I’ve had nothing but flack from everyone in the community since then.’
He then promised to discount the items on his website.
At the time, BDirect had an average rating of 1.4 stars out of five on Product Review. As of August 2024, it had risen to 1.5 stars.
However, there is now a caveat on the page that says: ‘We have detected a number of positive reviews for this listing which we suspect have been falsely generated and have the potential to mislead consumers.’
Mr Reuben refused to comment when contacted by Daily Mail Australia.
