Ex-CEO Martin Shkreli became the most hated man in America the moment he decided to raise the price for cheap medication. The pills that were affected by this decision are actually making a huge difference for AIDS patients. Therefore, social media cheered the jury that found Martin Shkreli guilty of securities fraud. The man faces up to 20 years in prison.
Ex-CEO Martin Shkreli Has to Answer for Three out of Eight Charges Mainly for Securities Fraud
Back in September 2015, the price for Daraprim went through a 5,000% price boost from $13.50 a pill to $750. The drug is featured on the List of Essential Medicines that the World Health Organization compiles. Therefore, the skyrocketing price increase affected numerous patients. This change drew vast public criticism against its author, Martin Shkreli.
The recent Brooklyn trial, however, didn’t contain charges regarding the Daraprim drug. As the CEO of Pharma Bro, Shkreli was entitled to any decisions, especially when they fitted investors’ expectations. Nevertheless, the world seemed relieved to find out that the culprit is not getting away so easily after all.
The Brooklyn jury found Martin Shkreli guilty of three out of eight allegations. Two of them involve securities fraud while the other regards conspiracy to attempt such an investment fraud. This means that Shkreli himself resorted to deceit to manipulate the stock towards the desired results. This practice is in violation of securities laws.
The Brooklyn Jury Is Expected to Issue a Sentence of No More than 20 Years in Prison
The lawyer that protects Shkreli, Ben Brafman, requested the jury to disregard the negative reputation of his client. Despite this attempt, the authorities did find him guilty for a 2009 event. This was when he lost the money that pertained to two hedge funds. Instead of coming clean to investors, the CEO chose to hide the truth and replace the money with the earnings from Retrophin.
Nonetheless, the crimes for which Shkreli will be convicted are considered not harmful enough to grant him more than 20 years in prison. On top of that, he has a clean criminal record. Therefore, the expected punishment might be too mild for the most hated man in America.
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