Friday, January 28, 2022

‘Pharma Bro’ Martin Shkreli fined $64M, banned from drug industry

Must Read

Can Kristen Stewart, ‘Spider-Man’ make comebacks?

Start your engines, Oscar watchers. Voting for the 2022 Oscar nominations kicked off Thursday with plenty of fanfare,...

Instagram and TikTok pull ads from company linking ADHD to obesity

Meta and TikTok removed advertisements from a mental health care startup after the ads promoted harmful and misleading...

Cris Collinsworth goes shirtless – and viral – on his birthday

NBC's Chris Collinsworth laughed well as he celebrated his 63rd birthday on Thursday. The former Bengals wide receiver,...


Pharma Bro judge Martin Shkreli, who was convicted by a New York federal judge on Friday, was forced to reimburse his company for $ 64 million in profits received by inflating the cost of a life-saving drug.

Shkreli, who is serving a seven-year prison sentence for securities fraud after being convicted in 2017, is also barred from re-employment in the pharmaceutical industry.

U.S. District Judge Denis Cote on Friday concluded a weeks-long civil lawsuit against Shkreli by the Federal Trade Commission and seven states.

Shkreli, who now sits behind bars in a low-security federal prison in Allenwood, Pennsylvania, has become one of America’s most hated leaders.

In 2015, Shkreli’s Turing Pharmaceuticals acquired the rights to Daraprim, a life-saving drug used to treat infections that occur in patients with cancer and AIDS.

Turing, now known as Viera, then raised the price of the drug from $ 13.50 to $ 750 per tablet.

According to court documents, Shkreli said at the time that the move “should be a very good investment for all of us.”

He defended the decision as capitalism at work, and said insurance and other programs would ensure that people in need of Daraprim would eventually get it.

In 2015, Shkreli rose to fame when his company, Turing Pharmaceuticals, acquired the right to a life-saving drug and then raised its price by 4,000%.

The increase has cost some patients up to $ 16,000 in additional payments and sparked protests that have intensified congressional hearings.

After Shkreli’s conviction in 2017, bail was canceled for offering his fans $ 5,000 for a single haircut by Hillary Clinton.

Shkreli has been sued in the New York federal court by the FTC and seven states: New York, California, Illinois, North Carolina, Ohio, Pennsylvania and Virginia.

The FTC and the states have accused Shkreli of creating a “monopolistic scheme” that allowed Daraprim to raise prices by about 4,000 percent.

“Martin Shkreli has developed a plan to dramatically increase the price of the life-saving drug Daraprim by blocking cheaper options,” said FTC President Lina Khan.

“This strong relief will set a new standard and warn corporate leaders that it will have dire consequences for tearing the public apart by wasting monopolies on markets.”

Last month, Viera and its parent company, the Phoenix, were ordered by the FTC to pay up to $ 40 million in compensation to victims of rising drug prices.

The two organizations will have to pay $ 10 million in advance. If their financial situation improves over time, they will have to hand over $ 30 million distributed over 10 years.

Last summer, a group of active investors failed to gain control of Shkrelidan Feonixus, which owns 44% of the company.

FILE - A sketch of the courtroom on Dec. 17, 2015, from left, attorney Baruch White, pharmaceutical entrepreneur Martin Shkreli, attorney Jonathan Sak, and co-author Evan Greebel are arriving in court in New York.  The Court of Appeals announced on Wednesday, October 30, 2019, that Martin Shkreli’s former lawyer Greebel had been found guilty of financial fraud.  Prosecutors allege Greebel helped Shkreli steal millions of dollars when he was CEO of the biopharmaceutical company Retrophin. (Via Elizabeth Williams AP, File)
Shkreli is serving a seven-year prison sentence at a low-security facility in Pennsylvania.

Shkreli was able to exercise his right to vote from prison, and the company prevented attempts to replace those seen on the board of directors as his relatives.

Although Pharma Bro was technically forced to lose shares by a Brooklyn federal judge as part of a penalty for defrauding investors, it could use the shares to vote on company issues until it is reassigned.

Last summer, a federal judge in Manhattan ruled to terminate Shkreli’s share to pay off his debts, but no court has appointed a receiver to oversee the shares.

Shkreli’s stake in the company is valued at about $ 7.5 million.

.

- Advertisement -
Latest News

Can Kristen Stewart, ‘Spider-Man’ make comebacks?

Start your engines, Oscar watchers. Voting for the 2022 Oscar nominations kicked off Thursday with plenty of fanfare,...

Instagram and TikTok pull ads from company linking ADHD to obesity

Meta and TikTok removed advertisements from a mental health care startup after the ads promoted harmful and misleading health information, NBC News reported.Cerebral,...

Cris Collinsworth goes shirtless – and viral – on his birthday

NBC's Chris Collinsworth laughed well as he celebrated his 63rd birthday on Thursday. The former Bengals wide receiver, who was ranked 37th by...

Putin says West has not addressed key concerns in Ukraine standoff

By Vladimir Soldatkin, Alexander MarrowMOSCOW () -President Vladimir Putin said on Friday the United States and NATO had not addressed Russia's main security...

Jeff Hardy Trends Big After News Of Rejected WWE Hall of Fame Offer

Jeff Hardy is doing things completely on his terms these days. The Charismatic Enigma recently walked out on WWE in the middle...
- Advertisement -

More Articles Like This