Martin Shkreli Found Guilty on 3 of 8 Fraud Charges

by mconvente

Hot off the presses.  Martin Shkreli, the infamous “Pharma Bro” who raised the price of the generic medicine Daraprim, which his company owned the rights to, from $13.50/pill to $750/pill overnight, has been found guilty by a jury of his peers on three of eight securities fraud charges.  Shkreli faces up to 20 years in prison.

From the New York Times:

Martin Shkreli, accused of defrauding his hedge fund investors and a pharmaceutical company, was convicted on three of eight counts on Friday, after a five-week trial in the Federal District Court in Brooklyn.

He faces as much as 20 years in prison.

The conviction, even as a mixed verdict, was a shattering defeat for the divisive Mr. Shkreli, who said before the trial that he was “so innocent” that the judge, jury and prosecutors would apologize to him afterward.

Mr. Shkreli was accused of securities and wire fraud related to two hedge funds he ran, MSMB Capital and MSMB Healthcare. Prosecutors charged he then illegally used a pharmaceutical company he founded, Retrophin, to repay the defrauded MSMB investors.

Definitely check out the NY Times article, it is a great recap of the entire trial.

Interesting how this case came about because other super rich multi-millionaires getting defrauded.  Though, at least according to Shkreli’s defense lawyers, the clients ended up making money on the investment in the end.

Lock him up!


Reprinted with permission from Daily Kos