A federal appeals court has upheld the 2017 securities fraud conviction of infamous "pharma bro" Martin Shkreli. The United States Court of Appeals found the argument that he was sentenced following faulty jury instructions by a district court judge to be “without merit.” The court also upheld the district court's decision to order the forfeiture of $6,400,450, which Shkreli claimed was an error.
The self-proclaimed pharma bro, who notoriously raised the price of a life-saving HIV drug from $13.50 to $750 a dose, is serving a seven-year sentence for securities fraud. Shkreli allegedly looted money from the pharmaceutical company he founded, Retrophin, to pay back investors he had lied to about the success of two separate hedge funds.
During the trial, investors took the witness stand to accuse Shkreli of swindling them even while his scheme was unfolding. The defense argued that no harm was done given that the investors profited off of Retrophin's stock. The court found that “forfeiture is gain based,” not based on the losses suffered.
Earlier this year, reports surfaced indicating Shkreli was “at work on a big second act” and still operating his business out of prison using a contraband cell phone he smuggled into the facility. During his sentencing hearing in 2018, Shkreli told the press he “was never motivated by money" but rather was "trying to grow my stature and reputation.”
The Retrophin founder has found himself involved in several controversies throughout his time in the spotlight, including beef with the Wu-Tang Clan after he purchased their one-of-one album Once Upon a Time in Shaolin. He also claimed to be in possession of Drake disses at the height of the rapper's feud with Pusha-T.
