financetom
Business
financetom
/
Business
/
US Supreme Court rejects 'Pharma Bro' Martin Shkreli's appeal of penalties
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US Supreme Court rejects 'Pharma Bro' Martin Shkreli's appeal of penalties
Oct 7, 2024 7:25 AM

(Reuters) - The U.S. Supreme Court declined on Monday to hear former pharmaceutical company CEO Martin Shkreli's challenge to a $64.6 million financial penalty imposed by a judge after he raised a lifesaving drug's price by more than 4,000%.

The justices turned away Shkreli's appeal of a lower court's decision upholding the penalty, equal to the profits he and one of his former companies made by raising the price of the drug Daraprim in 2015. Shkreli, then in his early 30s, was given the nickname "Pharma Bro" in the media. His penalty had been imposed in 2022 by U.S. District Judge Denise Cote in Manhattan.

Shkreli's appeal did not challenge a lifetime ban from the drug industry also imposed by Cote.

The judge cited Shkreli's "particularly heartless and coercive" tactics in monopolizing Daraprim and keeping generic rivals off the market. Cote imposed the sanctions in a civil antitrust case brought by the U.S. Federal Trade Commission, along with the states of New York, California, Illinois, North Carolina, Ohio, Pennsylvania and Virginia.

Shkreli asked the Supreme Court to review a January decision by 2nd U.S. Circuit Court of Appeals in Manhattan, which upheld the $64.6 million penalty as well as the industry ban.

Now 41, Shkreli gained notoriety when, as chief executive of Turing Pharmaceuticals, he raised Daraprim's price overnight to $750 per tablet from $17.50.

Daraprim is used to treat a parasitic infection called toxoplasmosis, including in people with AIDS.

Shkreli later served more than four years in prison after being convicted in 2017 for defrauding investors in two hedge funds and scheming to defraud investors in another drugmaker.

He argued in his Supreme Court appeal that he should not owe the entire $64.6 million.

Shkreli said it was unfair to give up profits he never personally received or controlled, and that two other federal appeals courts have limited the liability of defendants in personal gains.

The states countered that the appeal to the Supreme Court was a "poor vehicle" to review Shkreli's disgorged profits because lower courts never addressed the issue.

Since his May 2022 release from prison, Shkreli has worked as a software developer and as a consultant for a law office.

He has separately been sued by the digital art collective PleasrDAO for having allegedly streamed a one-of-a-kind album by the hip-hop group Wu-Tang Clan. PleasrDAO bought the album after the U.S. government seized it from Shkreli in his criminal case.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Update: Artis To Implement Automatic Purchase Plan; Comes After Boosting Holdings In Dream Office REIT To 16.76%
Update: Artis To Implement Automatic Purchase Plan; Comes After Boosting Holdings In Dream Office REIT To 16.76%
Mar 5, 2024
08:40 AM EST, 03/05/2024 (MT Newswires) -- Artis Real Estate Investment Trust (AX-UN.TO) said Tuesday that it is implementing an automatic purchase plan as part of its previously announced normal course issuer bid. The plan allows Artis to purchase units at times when the company is not active in the market due to self-imposed trading blackout periods. This comes after...
Regenxbio Reports Higher Microdystrophin Expression in Phase 1/2 Duchenne Study
Regenxbio Reports Higher Microdystrophin Expression in Phase 1/2 Duchenne Study
Mar 5, 2024
08:39 AM EST, 03/05/2024 (MT Newswires) -- Regenxbio ( RGNX ) reported new data Tuesday about its investigational gene therapy RGX-202 showing significantly increased microdystrophin expression at dose level 2 with early evidence of strength and motor function improvement in a 12-year-old patient with Duchenne muscular dystrophy. The company said the patient's microdystrophin expression was 75.7% at three months, while...
Ballard Power Systems Announcing 15 MW Order For Stationary Power Market; No Financials Given
Ballard Power Systems Announcing 15 MW Order For Stationary Power Market; No Financials Given
Mar 5, 2024
08:38 AM EST, 03/05/2024 (MT Newswires) -- Ballard Power Systems ( BLDP ) announced Tuesday an order for 15 megawatts (MW) of fuel cell systems from a UK-based company specializing in renewable off-grid power generation. According to a statement, Ballard expects to deliver 150 x FCmove-HD+ 100 kW systems beginning in late 2024 and continuing through 2025. No financials were...
Tesla's Germany Plant Halts Production After Suspected Arson Attack
Tesla's Germany Plant Halts Production After Suspected Arson Attack
Mar 5, 2024
08:37 AM EST, 03/05/2024 (MT Newswires) -- Tesla (TSLA) on Tuesday has halted production in its gigafactory in Germany, which was left without power after a suspected arson attack on a nearby electricity pylon, several media outlets reported. A blaze in the power grid supplying the Tesla plant was extinguished by the fire brigade and did not spread to the...
Copyright 2023-2026 - www.financetom.com All Rights Reserved