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Turing CEO Shkreli Arrested for Fraud
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Martin Shkreli, Turing CEO, was arrested on fraud related to his time as a hedge fund manager, not his recent price gouging of Daraprim.
Martin Shkreli, famous for hiking the price of Daraprim by 5000% after purchasing the 62-year-old drug, was arrested Thursday morning. The investigation is related to his time as a hedge fund manager, not his widely criticized price gouging, reported The New York Times.
Shkreli, the CEO of Turing Pharmaceuticals, became a household name after he increased the price of a life-saving pill from $13.50 to $750 overnight. However, it is for what he did when he was in charge of the biopharmaceutical company Retrophin that the federal case rests on.
Retrophin has also filed a civil lawsuit against Shkreli for the misuse of company funds and for engineering numerous transactions between the company and MSMB Capital Management, Shkreli’s own hedge fund, reported Bloomberg Business.
Two weeks earlier, Shkreli appeared at the Forbes Healthcare Summit and acknowledged that the duty he had to shareholders—to maximize profits—could make him a target for prosecutors.
More on this story as it develops.
