PharmaBro Martin Shkreli arrested

[47of74]

PharmaBro and all around douchebag Martin Shkreli was arrested for securities fraud today. 

Quote

NEW YORK — Martin Shkreli, the 32-year-old former hedge fund manager notorious for jacking up the price of an obscure but critical drug, was arrested Thursday on securities fraud charges.

The charges are unrelated to Shkreli’s leadership of Turing Pharmaceuticals, which bought a drug, Daraprim, for $55 million this summer, then increased the price of the 62-year-old drug by more than 4,000 percent.

Instead, the charges brought by the U.S. attorney for the Eastern District of New York are related to Shkreli’s time at Retrophin, another bio-pharmaceutical company he founded, and his time at MSMB Capital Management, a hedge fund.

Federal prosecutors alleged that for five years, Shkreli lied to investors in two hedge funds and bio-pharmaceutical company Retrophin, all of which he founded. After losing money on stock bets he made through one hedge fund, Shkreli allegedly started another and used his new investors’ money to pay off those who had lost money on the first fund. Then, as pressure was building, Shkreli started Retrophin, which was publicly traded, and used cash and stock from that company to settle with other disgruntled investors, prosecutors contended.

Here's the indictment of the little douche nozzle and one of his buddies.

[sparkles]

This makes me so very, very happy. Certainly wiped that smug smirk off the weasel's face, didn't it?

[Phoebe]

Couldn't happen to a nicer guy.

[Cartmann99]

Yes, Virginia, there is a Santa Claus. 

[apple1]

27 minutes ago, Phoebe said:

Couldn't happen to a nicer guy.

My thoughts exactly.

[Jingerbread]

I hope he is now feeling the fear that every person he fucked over feels.  I hope he now understands what it feels like to know life is over.  At least he'll get a chance to recoup his life after 20 years.  The people he fucked over were going to die.

[Jeebusismycopilot]

Looks good on him Smug ass douche nozzle deserves his comeuppance. 

[FundieFarmer]

I can't express how thrilled I was to read this today!

[Sundaymorning]

1 hour ago, Jingerbread said:

I hope he is now feeling the fear that every person he fucked over feels.  I hope he now understands what it feels like to know life is over.  At least he'll get a chance to recoup his life after 20 years.  The people he fucked over were going to die.

Nobody was going to die, thanks to the fact that the free market actually works. (http://www.iflscience.com/health-and-medicine/rival-company-offers-1-alternative-pill-martin-shkreli-s-750-hiv-medication) (unless it gets, as always, affected by corporatism, http://www.forbes.com/sites/matthewherper/2015/10/23/suckers-that-1-a-pill-competitor-wont-hurt-martin-shkreli-one-bit/2/)

Of course this guy is an absolute asshole, he is a prime example how corporatism works, the reason why he thought he was going to get away with this ridiculous price increase in first place were government regulations which allow the prices to get this high. ( https://mises.org/blog/yet-another-way-government-drives-pharmaceutical-prices)

Edited December 18, 2015 by Sundaymorning

[Alicja]

[LadyCrow1313]

Karma's a beyotch, isn't it? 

 

[bashfulpixie]

Isn't it lovely to see karma in action on occasion?  Asshole deserves it.

[WhiteRun]

My reaction to this news was simply: lol.
Looks like he could spend up to 20 years in jail. lol.

[Maggie Mae]

I am happy to see him go to jail. 

I'm not happy that there are a million other people out there that see nothing wrong with what he did regarding medicine. And there will be someone else to step in and manage those companies who might just be worse. 

I wonder if he's one of those white collar non-murdering sociopaths we hear about. 

[turquoise]

20 minutes ago, Maggie Mae said:

I wonder if he's one of those white collar non-murdering sociopaths we hear about. 

He sure sounds like a sociopath. You buy the rights to manufacture a product, sure you have the right to make a profit. But how can you justify that kind of price gouging on a lifesaving drug?

[Peas n carrots]

On 12/17/2015 at 5:21 PM, Jingerbread said:

I hope he is now feeling the fear that every person he fucked over feels.  I hope he now understands what it feels like to know life is over.  At least he'll get a chance to recoup his life after 20 years.  The people he fucked over were going to die.

I wish that would be the case, but likely he's going to hire a slimebucket attorney who will get him several years probation.  This little turd will likely never feel what its like to know life is over.

I'm jaded, I know.

[meep]

A little fun fact for all you Martin Shkreli fans out there: Wu Tang Clan made an album called "Once Upon A Time In Shaolin", of which they made only one copy of. They decided to put it up for auction, with the agreement being that it could never be resold. Good ole Martin decided to grab it for a cool 2 mil. He said he hasn't listened to it yet because he never wants to listen to it because he is not a Wu Tang Clan fan. During his live webcam sessions, he usually would wave the case in front of the camera to taunt his audience with it. 

[Cartmann99]

13 hours ago, Peas n carrots said:

I wish that would be the case, but likely he's going to hire a slimebucket attorney who will get him several years probation.  This little turd will likely never feel what its like to know life is over.

I'm jaded, I know.

I'm jaded too, then.  According to this article from Friday, he's out on bail and live streaming on the internet again:

Quote

Asked about his love life on Friday, Shkreli decided to log onto OK Cupid. He shared the profiles he was looking at, including photos, with viewers.

I really don't understand why any woman would want to date this guy. I don't care how much money he has, he's an obnoxious jerk. 

[Grimalkin]

I feel like him and his ilk is why government run health care might cripple our country financially. If insurance pays for it why not charge those prices? Prescription Nexium costs $215.00  over the counter Nexium in the same strength $45.00 per month. Prices keep getting jacked up, insurance companies nickle and dime health care providers so they raise prices to make up the costs. My husbands gastroentinologist said his salary peaked ten years ago and is going down every year. In his own words he said if he didn't care about his job he would be better off opening up a Dunkin Donuts like the rest of his brethren. (Again that was his own phrasing) my GP says similar things.

[jaelh]

@Grimalkin  - The whole government run health care doesn't actually present that much of a problem.  In Australia, the government is the sole purchaser to drugs for anything listed on the Pharmaceutical Benefits Scheme.  Because they are the sole purchaser of drugs, they have *enormous* power when it comes to negotiating prices with the companies.  Those prescriptions can be filled by the patient for $16 each (less if you're a pensioner or receive a government benefit).  Once you've spent a certain amount per year, all scripts are filled free of charge. 

Similarly; a government insurer doesn't have any need to turn a profit, as commercial insurers do.  There is less incentive to nickel and dime providers.   (not no incentive, everyone wants a surplus, right?  but far, far less).   The commercial model of insurance is very different to a single payer system, that doesn't have a profit motive.  

[Grimalkin]

           Here in the states it does not work like that. People justify charging huge amounts for medication because insurance usually covers it. I am in a bad posisition right now. Cobra would cost us $2,600.00 a month. When we tried to enrol inBCBS we could not enroll our kids. We even called and asked to pay out of pocket. But because of our income we have to enroll our kids in chip, which is government funded. Guess what, our pediatrician we have seen 17 years does not accept chip. In fact calling around all the ped offices my friends recommended I learned none of them accept chip. It's a mess. I know this happens because dr. Offices have such a hard time collecting money from certain companies. They end up having to raise rates to make up the lost fees insurance does not cover and patients cannot afford. 

[47of74]

And now the trial of PharmaDouche is about to begin

Quote

Martin Shkreli, often described as "the most hated man in America," will spark many Americans' interest in securities and wire fraud for the first time Monday when he stands trial in a federal courthouse.

The former pharmaceutical chief executive will face charges of securities fraud in federal court in Brooklyn, New York, more than a year and a half after he was arrested in December 2015. Jury selection begins Monday morning.

 

[Grimalkin]

The wheels of justice turn very slowly. His lawyer had plenty of time to get a good defense and pay off whoever they need to.

[GreyhoundFan]

Apparently they are having trouble seating a jury: "‘Pharma Bro’ Martin Shkreli trial hits speed bump: Finding jurors who don’t already dislike him"

Spoiler

NEW YORK — Martin Shkreli got his first taste of Wall Street as an intern for a hedge fund firm started by CNBC personality Jim Cramer. After striking out on his own, he developed a reputation for aggressive tactics, including betting a company’s stock price would fall and then berating its executives on social media.

His battles earned him a spot on Forbes’ list of “30 under 30” after Shkreli torpedoed a health-care industry merger and “antagonized” pharmaceutical giant Pfizer into removing its former chief executive from the company’s board of directors, the magazine said. Shkreli, now 34, is a “boy genius,” his attorney has said.

But one of Shkreli’s most aggressive moves changed that narrative when, as chief executive of Turing Pharmaceuticals, he raised the price of Daraprim — a 62-year-old drug primarily used to treat newborns and HIV patients — from $13.50 to $750 a pill. When critics pounced, the live-out-loud Shkreli did not do his reputation any favors by calling a journalist a “moron,” quoting defiant rap lyrics on Twitter and defending the price increase as a “great business decision.”

“Our shareholders expect us to make as much money as possible,” Shkreli said during a health-industry summit in 2015, dressed nonchalantly in a hooded sweatshirt and sneakers. “That’s the ugly, dirty truth.”

These two images of the Brooklyn native are playing out in federal court this week as Shkreli faces eight charges that could land him in prison for years.

Packed into the second-floor courtroom in Brooklyn, several potential jurors said they had already formed strong opinions of Shkreli. One potential juror told U.S. District Judge Kiyo Matsumoto that Shkreli is “the price gouger of drugs. My kids are on some of these drugs.”

Another said, “I know he’s the most hated man in America,” while another asserted that “from everything I’ve read, I believe the defendant is the face of corporate greed in America.” All were excused from the jury.

Shkreli sat a few feet away by himself, intermittently appearing to write on a yellow pad or staring up at the ceiling. Dressed in a gray suit and no tie, he yawned and leaned his head against his arm. In the back row of the courtroom sat his father. During one break, Shkreli greeted friends in the courtroom and warned them to stay away from “fake news.”

The trial is slated to last from four to six weeks, and Matsumoto told potential jurors that it “promises to be interesting and educational.” So far, nearly 250 potential jurors have been interviewed, but not a single one had been seated. On Wednesday, the judge and lawyers were interviewing candidates again in hopes of finding 12 jurors and six alternates. If they find enough, opening statements would likely start either late Wednesday or early Thursday.

With news trucks stationed outside and more than a dozen reporters flowing in and out of the courtroom, Shkreli is facing intense media scrutiny. Citing negative news coverage of his client — which included the New York Post front-page headline “Jury of His Jeers, 134 jurors out in ‘Pharma Bro’ trial: They all hate him” — Shkreli’s attorney requested a mistrial, which was denied. He also asked that reporters not be allowed to listen to potential jurors’ voice their opinions about Shkreli, which was also denied.

Court officers confiscated a copy of one of the New York tabloids that covered the first day of the trial from one of the potential jurors. “I think it’s impossible for jurors not to see them. I have someone who is facing 20 years in prison,” said his attorney Benjamin Brafman.

Federal prosecutors alleged that for five years Shkreli lied to investors in two hedge funds and biopharmaceutical company Retrophin, all of which he founded. After losing money on stock bets he made through one hedge fund, Shkreli allegedly started another and used his new investors’ money to pay off those who had lost money on the first fund. Then, as pressure was building, Shkreli started Retrophin, which was publicly traded, and used cash and stock from that company to settle with other disgruntled investors, prosecutors contend.

But potential jurors appear to be struggling to separate Shkreli’s public persona with the charges he is facing. One juror told the judge that she had been in the health-care field for half her life and knew someone who used the AIDS medication whose price skyrocketed under Shkreli. “I have cried with them,” she said. “I don’t think I could be the right person to sit” on the jury. Even after advised by Matsumoto that Shkreli is not facing charges related to raising drug prices, the potential juror said she couldn’t be impartial and was excused.

Shkreli’s attorneys are preparing to argue that he was following the advice of his lawyer, who is also facing criminal charges. His investors didn’t lose money and were not defrauded, they have argued.

“Shkreli did not defraud the investors and then make it up to them later with a different investment. This may be the Government’s view, but it’s not ours,” Brafman said in a court filing earlier this month. “At trial, the defendant will show that Mr. Shkreli never, at any time, intended for a single investor to lose a dime. Not in the short term; not in the long term; not ever.”

...

Shkreli’s emergence on the national stage coincided with a larger debate about rising drug prices, and Shkreli appeared to relish the attention, or at least not shrink from it. Even after he was arrested in December 2015, he spent hours on YouTube chronicling his life for fans and was eventually kicked off Twitter for harassing a freelance journalist. When he appeared before a congressional committee last year, he smirked and grinned while refusing to answer questions. Afterward on Twitter, he called the lawmakers “imbeciles.”

Shkreli’s attorney urged him to stay quiet, but the former hedge fund manager repeatedly took to social media. In April, he offered $40,000 to a Princeton University student who solved a mathematical proof. In May, he pledged on Facebook to pay $100,000 for tips leading to the arrest of the person who killed former Democratic National Committee employee Seth Rich.

Shkreli is “traveling to the beat of his own very unique drummer,” Brafman has said.

When Shkreli asked this month for his $5 million bail to be reduced to $2 million, his loquaciousness worked against him. Brafman told the court that Shkreli didn’t have any cash and needed to pay taxes and legal fees. But skeptical prosecutors noted that Shkreli had bragged about his wealth, including flaunting that he had paid millions for a Picasso painting, a one-of-a-kind Wu-Tang Clan album, and a World War II-era Enigma code-breaking machine used against Nazi Germany.

Those statements should not be taken seriously, his attorney responded. “Tweeting has become, unfortunately, so fashionable, and when people tweet, they don’t always mean what they say,” Brafman said.

The judge denied the request.

...

I know I wouldn't want to be on that jury.

[FundieFarmer]

Of course he didn't intend for people to lose money- he intended for them to make money so that HE could along with them. He wants investments to succeed because he worships money. He's a worm and money is his dirt.

Someone who wanted to stick it to him would present as impartial the whole way through and vote him as guilty regardless of the trial's actual purpose. The people who are owning up to not being able to stick on the jury impartially are doing the right thing.