Albanian-American entrepreneur and hedge fund manager Martin Shkreli is infamous as the “Pharma Bro.” Shkreli once boasted a net worth of $70 million, but his fortune has shrunk after a series of legal battles and financial setbacks. His controversial behavior in the pharmaceutical industry and subsequent convictions made him a notorious figure in finance and health care.
notorious
In 2015, Martin Shkreli faced public scorn while running Turing Pharmaceuticals. The company acquired the rights to Daraprim, a life-saving HIV treatment. Prior to Turing's acquisition, Daraprim was low and affordable, selling for $13.50 per tablet. Shkreli raised the price to $750 per tablet, a move that sparked outrage and earned him the nickname “Pharm Bro.”
Legal Issues
In 2017, Shkreli faced charges unrelated to the Daraprim scandal. He was convicted of two counts of securities fraud and one count of conspiracy to commit securities fraud. Shkreli was sentenced in March 2018 to seven years in federal prison. Wu-Tang Clan album.
financial collapse
At his peak, Shkreli's net worth was estimated at $70 million, primarily from his stake in Turing Pharmaceuticals. However, Shkreli's net worth plummeted to $0 after running into legal trouble and having his assets seized. In January 2022, he was banned from the pharmaceutical industry for life and ordered to return $64.6 million in profits from the Daraprim price increase.
Early life and education
Martin Shkreli was born on March 17, 1983 in Brooklyn, New York. Shkreli grew up in a working-class family and attended Hunter College High School, but dropped out before his senior year. He completed his diploma at City-As-School High School and interned at Jim Cramer's hedge fund at age 17.
Financial Careers
Shkreli began his finance career at Cramer, Berkowitz, and Company, where he recommended shorting Regeneron stock. Despite an SEC review, no wrongdoing was found. Shkreli later worked as a financial analyst at a major investment bank before founding Elea Capital Management in 2006.
In 2009, Shkreli established MSMB Capital Management to focus on shorting biotechnology companies. His tactics included criticizing the companies in stock trading chat rooms. However, a failed short-selling bet bankrupted MSMB Capital.
Turing Pharmaceuticals and Controversy
In 2011, Shkreli founded Retropin to focus on the treatment of rare diseases. After being kicked off Retropin in 2014, Shkreli founded Turing Pharmaceuticals in 2015. defended, and hired a PR firm to deal with the backlash.
ongoing legal issues
Shkreli's legal troubles extend beyond his securities fraud convictions. In 2019, the Bureau of Prisons investigated him for allegedly using his cell phone to run a pharmaceutical company from prison. In 2020, New York Attorney General Letitia James filed a lawsuit against Shkreli, accusing it of suppressing competition to maintain high prices for Daraprim. The lawsuit seeks to ban him for life from the pharmaceutical industry and seeks monetary relief for victims.
Personal life and public perception
Shkreli's personal life has been fraught with controversy. While in prison, he spent $2 million on the Wu-Tang Clan album “Once Upon a Time in Shaolin” and sold it on eBay. The album was later confiscated as part of his asset forfeiture. Shkreli also made headlines for offering money to anyone who could get a lock of Hillary Clinton's hair, leading to his bail being revoked.
in conclusion
Martin Shkreli's journey from wealthy entrepreneur to convicted felon is a cautionary tale of greed and unethical behavior in the pharmaceutical industry. Despite his early success, his actions left him with a tarnished reputation and a net worth of zero. Shkreli’s story reminds us of the consequences of exploiting vulnerable people for financial gain.