• Sponsors

  • Price-Gouger Martin Shkreli Convicted Of 3 Fraud Related Charges

    Martin Shkreli, who raised to notoriety by increasing the price of a life-saving drug AIDS patient use, was recently convicted of securities fraud for the mismanagement of two investment funds.

    A Brooklyn jury took five days to deliberate before they came back with three guilty verdicts – one for conspiracy and two for securities fraud. They acquitted him on five additional counts of conspiracy.

    On the most serious conviction – securities fraud – he could face up to 20 years in prison.

    Shkreli had a look of shock when the first guilty verdict was read. Outside the courtroom, he said the prosecution was on a witch hunt of grand proportions. He said the three convictions were just shaking something out of the closet and he was concerned more with the acquittals.

    Not even an hour later, he was in his apartment and on YouTube, live streaming himself holding a bear and saying that he’ll probably do next to no time in prison. He said if he does, it’ll be in a place where he can play basketball and tennis and do a little gaming on the Xbox.

    Benjamin Brafman, Shkreli’s lawyer, said there was a possibility of an appeal and that the verdict permits the court its own discretion to sentencing. It’s not known when sentencing will take place.

    According to federal prosecutors, Shkreli had cheated his investors out of over $11 million from 2009 until 2014 in a Ponzi-like scheme. They said Shkreli mishandled the money from Elea Capital, MSMB Healthcare and MSMB Capital while Retrophin’s CEO – a drug company he established in 2011.

    Prosecutors alleged he lied to his MSMB Capital and MSMB healthcare investors on the status of their funds. Instead, using the money to start Retrophin, and using that money to pay his MSMB investors back as well as deal with personal loans and debts.

    William Sweeney, FBI Assistant Director-in-Charge, said Shkreli misled his investors and the convictions are a testament that their actions do have consequences.

    Brafman said his client was a genius who made millions for his investors. He said his client never had the intent to deceive anybody.

    After Shkreli, when was the CEO of Turing Pharmaceuticals, increased the price of an AIDS drug from $13.50 a pill to $750 a pill. Since that time, he’s been regarded as the most hated man in the U.S. However, Shkreli said his company needed to see a profit from the drug, which is why he increased the price. He said anybody who needs it can use the drug Daraprim.

    After he was indicted on the charges, he used Periscope and Twitter to show people he was losing no sleep over the case. He would play video games and livestream trips in and around New York.

    Both sites kicked him off their sites after he made unwelcome advances toward a magazine editor. All during the trial, he used Facebook to post videos even though his lawyer and the prosecutors tried to get him to stop. Shkreli even said the prosecutors were on a witch hunt and that his attorney was sending them back to where they belonged. He ended it by saying, “MAGA.”
  • Sponsored Links