Martin Shkreli, the notorious pharma chief finds himself in hot water yet again. Not for purchasing the Wu-Tang Clan's unreleased album for $2 million but this time for securities fraud at his former company Retrophin. According to Bloomberg:
"The federal case against him has nothing to do with pharmaceutical costs, however. Prosecutors in Brooklyn charged him with illegally taking stock from Retrophin Inc., a biotechnology firm he started in 2011, and using it to pay off debts from unrelated business dealings. He was later ousted from the company, where he’d been chief executive officer, and sued by its board."
Bloomberg also reported that according to court filings that Retrophin also asserts that Shkreli entered into payoff agreements with as many as 10 MSMB (his defunct hedge fund) investors who lost money when the hedge fund became insolvent. Shkreli paid some investors through fake consulting agreements and others through unauthorized appropriations of stock and cash, the company alleged. These fake consultancy agreements were as high as $900,000.
Shkreli has drawn ire from many people throughout the world and even Donald Trump called him a "spoiled brat." Shkreli didn't attend college and interned for "Mad Money" which is hosted by Jim Cramer. He made a name for himself shorting biotech stocks after bashing them in online forums. He made a tremendous amount of money with these tactics.
What does Shkreli think about the lawsuit brought against him? “The $65 million Retrophin wants from me would not dent me. I feel great. I’m licking my chops over the suits I’m going to file against them.”
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