Martin Shkreli, the notorious "Pharma Bro" who raised the price of a potentially life-saving drug used by AIDS patients 5,000%, was sentenced Friday in a NY federal court to seven years for defrauding investors in two failed hedge funds.
According to prosecutors, Shkreli used false representations and omissions to induce investors to invest more than $8 million in two hedge funds he ran, MSMB Capital and MSMB Healthcare.
Martin Shkreli initially begged a judge in NY to impose a lenient sentence of 12 to 18 months.
Shkreli's lawyers had argued for a far more lenient sentence of 12 to 18 months.
"What no doubt increased Mr. Shkreli's sentence was his egregious and reckless conduct before, during and after trial", said David Chase, a former prosecutor for the Securities and Exchange Commission.
She said it was clear he is a "tremendously gifted individual who has the capacity for kindness".
The man who embodied the phrase "pharma bro" and once urged his fans to pull a hair from Hillary Clinton's head at a book signing has had a visit from pharma karma.
"There is so much more I want to do, and I will do it, the right way", Shkreli said, while starting to break into tears.
"This case is not about Mr Shkreli's self-cultivated public persona... nor his controversial statements about politics or culture", she added.
Shkreli's fraud predated the price gouging controversy and this trial would have gone largely unnoticed but for his status as an global pariah.
Shkreli was also booted from Twitter early past year for harassing journalist Lauren Duca.
His company, Turing Pharmaceuticals, bought the drug and immediately raised its price from $13.50 to $750 a tablet.
Shkreli, 34, was convicted of two counts of securities fraud and a single count of conspiracy last August.
It wasn't the first time Shkreli courted notoriety online. I was across the street from 9/11; I've built businesses from zero to hero, many times over. The prosecution will speak next as the sides weigh what the appropriate sentencing range is, then debate how long Shkreli will actually serve. He has also been ordered to forfeit $7.3 million, which may include his one-of-a-kind Wu-Tang Clan album and a painting by Pablo Picasso.
"He shouldn't be sentenced simply for being Martin Shkreli", defense lawyer Ben Brafman said.
Another letter was from a man who said he met Shkreli while driving a cab and expressed his appreciation at how he ended up giving him an internship at one of his drug companies.
In February 2018, Matsumoto found that losses resulting from Shkreli's crimes tallied up to $10.4 million.