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posted by janrinok on Sunday March 11 2018, @08:23PM   Printer-friendly
from the what-a-shame dept.

It's 7 Years in Prison for Martin Shkreli, Convicted of Fraud

A federal judge sentenced former pharmaceutical executive and hedge-fund manager Martin Shkreli to seven years in prison Friday following his earlier conviction on three of eight counts of securities and wire fraud charges.

According to reporters present in the Brooklyn courtroom, Shkreli gave an emotional and tearful speech prior to his sentencing, taking blame and responsibility for his actions and saying he had changed as a person since his conviction. US District Judge Kiyo Matsumoto reportedly handed him a box of tissues and took a lengthy amount of time reviewing his transgressions and history.

The sentencing caps a long, public saga for Shkreli, who is widely reviled for drastically raising the price of a cheap, decades-old drug, as well as provocative and offensive online antics, including harassing women.

Obligatory Nelson HaHa

Source: ArsTechnica

Sobbing "Pharma Bro" Martin Shkreli Sentenced to 7 Years in Prison for Defrauding Investors

KSWB-TV reports

He was convicted on August 5, 2017 of securities fraud and conspiracy in what prosecutors said amounted to a Ponzi scheme. Shkreli called the charges "a witch hunt of epic proportions".

During his sentencing on Friday in Brooklyn federal court, Shkreli, 34, broke into tears and pleaded with the judge for leniency.

"I look back and I'm embarrassed and ashamed", he told the court. "I am terribly sorry", he said to his investors, "I lost your trust."

At his trial last year, Shkreli often wore a smirk and was chastised by the judge for his behavior, including for an incident in which he told reporters that the prosecutors on the case were "junior varsity". He also ignored the advice of his lawyer by commenting on the trial via social media and YouTube.

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  • (Score: 5, Insightful) by Ramze on Sunday March 11 2018, @09:37PM (8 children)

    by Ramze (6029) on Sunday March 11 2018, @09:37PM (#651089)

    He stole from investors, lied to them about profits, lied about assets, and violated about a dozen SEC codes... then, he proceeded to mock the jury, the judge, the feds, his victims, a reporter... and then put a bounty on Hillary Clinton's hair -- which the secret service took as a real threat (she's still the wife of an ex-president).

    If he hadn't been lucky enough to profit from gambling the stolen money on other investments, his investors would have incurred real losses & there is still the possibility that the funds could have earned them more money if they'd been invested properly.

    Just because he returned the stolen money doesn't make it magically not fraud -- 3 counts of it by the way.

    Keep in mind that a simple drug dealer offering LSD at a club would get 15 years or more. He got 7 years... which means 6 months time served, 5 1/2 years left with "good time" in Federal prison... and possibly the last 6 months of that in a halfway house. So, he could be in a halfway house in 5 years. In the meantime, he'll try to get put into low or medium-low security prison where he can read books, teach classes, take courses himself, lift weights and play basketball. He got off EASY. The feds don't usually bother with cases that don't put people away for at least 10 to 15. Surprisingly, if he'd admitted guilt and gone with a plea deal, he likely would have gotten the same sentence! Oh, and you bet he'll appeal both his conviction and his sentencing in an effort to get out earlier. I imagine he'll even try to plead his case to Trump in the hopes of a pardon.

    Meanwhile, there's guys in federal prison serving 20 years for growing weed in their back yards. I get that there's a lot of crooks who have done worse, but they get to hide behind companies and other fall-guys and teams of lawyers. It's hard to convict CEOs because there's many layers of responsibility... but, there's at least a lot of laws regarding signing off on fraudulent investment statements... b/c then, you're messing with rich people's money. Can't have that!

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  • (Score: 1) by realDonaldTrump on Sunday March 11 2018, @11:56PM

    by realDonaldTrump (6614) on Sunday March 11 2018, @11:56PM (#651121) Homepage Journal

    Our Secret Service does a terrific job. And they protect the major presidential candidates -- the biggest Dem & Republican ones -- that ask for protection. Ever since that thing that one of our Second Amendment people did to Bobby Kennedy. Very sad!

  • (Score: 2) by Phoenix666 on Monday March 12 2018, @12:37AM (2 children)

    by Phoenix666 (552) on Monday March 12 2018, @12:37AM (#651133) Journal

    He stole from investors, lied to them about profits, lied about assets, and violated about a dozen SEC codes...

    For the uninformed that is par for the course with hedge funds. Bernie Madoff and Shkreli are not unusual at all. Hedge funds can get away with it because they are deemed "private investment clubs" and are not subject to audit the way mutual funds are. That means they can tell you their returns are whatever they want, and you have no way to independently verify that. They generally operate like ponzi schemes, hoping to suck in enough marks before the bottom falls out.

    --
    Washington DC delenda est.
    • (Score: 1, Troll) by linuxrocks123 on Monday March 12 2018, @01:21AM (1 child)

      by linuxrocks123 (2557) on Monday March 12 2018, @01:21AM (#651159) Journal

      [citation really needed]

      I know they're not subject to the same audit rules; that doesn't mean they're all frauds.

      • (Score: 0) by Anonymous Coward on Monday March 12 2018, @02:45AM

        by Anonymous Coward on Monday March 12 2018, @02:45AM (#651179)

        Hedge funds are all based on algorithms and those are proprietary.

        ...and even if you suspect you've been cheated, it would be pointless to sue them.
        Beyond the office furnishings, there are no actual material assets.
        It's all smoke and mirrors.

        -- OriginalOwner_ [soylentnews.org]

  • (Score: 2) by PiMuNu on Monday March 12 2018, @09:32AM (3 children)

    by PiMuNu (3823) on Monday March 12 2018, @09:32AM (#651265)

    He lied on a bunch of forms. Sure, it was illegal and some pension funds/other investors could have been harmed but weren't. But he will lose 5 years of his life for that, i.e. about 1/20th of his total existence on earth. That is a significant punishment I think.

    • (Score: 2) by sjames on Tuesday March 13 2018, @03:02AM (2 children)

      by sjames (2882) on Tuesday March 13 2018, @03:02AM (#651650) Journal

      People have received more for growing the wrong plant in their living room.

      • (Score: 2) by PiMuNu on Wednesday March 14 2018, @12:51PM (1 child)

        by PiMuNu (3823) on Wednesday March 14 2018, @12:51PM (#652329)

        > People have received more for growing the wrong plant in their living room.

        I argue that is an issue with laws surrounding horticulture.

        • (Score: 2) by sjames on Wednesday March 14 2018, @10:59PM

          by sjames (2882) on Wednesday March 14 2018, @10:59PM (#652658) Journal

          Personally, I would agree that the plants shouldn't even be illegal, but it does show a comparison in punishments. The gardener puts nobody at at risk (including financial risk).

          Shkreli put people at a financial risk they never agreed to and it is only by luck that he didn't wipe them out.