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Martin Shkreli's Ethical Business Practices

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Martin Shkreli is a pharmaceutical researcher, engineer and investor from Brooklyn, NYC. Born in 1983, Shkreli is now only 34 years old and is known worldwide for his unethical business practices. He was involved in close to a dozen lawsuits within three different corporations including: MSMD Capital Management, Retrophin, and Turing Pharmaceuticals. Now incarcerated and still facing more jail time, Shkreli is sitting with a net worth of a whopping $70 million USD. This man has used his expert power in the pharmaceutical industry to price gouge the drug market; become a multi-millionaire and an unethical criminal. Shkreli’s career began in 2009 with his co-founding involvement with MSMD. He began making a name for himself by pressing MSMD …show more content…

Shkreli’s involvements with MSMD inspired and lead him to create another million-dollar corporation, Retrophin, with an emphasis of developing new biotechnology. In that same year that Shkreli found Retrophin, he made a “bad bet” on shorting a company called Orexigen in the market. Taking a hard hit, he lost around $7 million in profit for his corporation. In 2012, it’s documented that Shkreli also made dozens of fake transactions within MSMD to make it appear as though they had been funding Retrophin. As Investors slowly became aware of these decisions Martin was making, they began demanding he pay restitution. As the investors came for their money, Shkreli used Retrophin’s funds to pay them off and hid it from the board members. In 2014 the BOD caught on to the scheme and immediately voted Shkreli to be removed as the CEO of Retrophin. Using social media, he slandered the board and the company he created. Shortly after he left Retrophin in 2015, the company sued him for $65 million USD. The lawsuit stated that Martin Shkreli used corporate funds and assets to pay off …show more content…

Shkreli bought the company who held the rights, KaloBios Pharmaceuticals, in order to get his hands on it. Once word got out that Shkreli bought the company, stock shares for KaloBios increased by 400% with people anticipating a huge price increase for Benznidazole, after witnessing the stunt carried out with Daraphrim. In December 2015, the FBI finally arrested Shkreli after a lengthy investigation over conspiracy of securities fraud. He posted a $5 million dollar bail. Afterward, he decided to remove himself as CEO of Turing and was also fired as the CEO of KaloBios. It was brought to the attention of the FBI that Shkreli had been an unethical, unlawful and greedy train wreck reeking havoc in the pharmaceutical market for years now. Until recently Martin had done an incredible job of covering up his tracks of financial destruction and was able to remain out of incarceration. Although he was able to avoid sentencing for another two years longer by posting his $5 million bail, in August 2017, Shkreli went to trial and was found guilty. He was found guilty on two separate accounts of securities fraud, and another separate account of conspiracy to commit securities fraud involving his publically traded hedge

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