‘Pharma Bro’ Shkreli banned for life from pharma industry | Drugs News

Martin Shkreli was also ordered to pay $64 million in compensation for monopolizing the market for a life-saving drug.

by Bloomberg

Martin Shkreli, the Pharma Pro convict brought down by a drug price scandal in 2015, has been ordered to pay $64 million in compensation for his monopoly on the market for a life-saving drug.

Shkreli, the former CEO of Vyera Pharmaceuticals LLC, was also banned for life from the drug industry in an antitrust ruling issued Friday by US District Judge Denise Cote in Manhattan.

New York Attorney General Letitia James, who is filing the lawsuit with six other states and the US Federal Trade Commission, said in a statement that Shkreli was motivated by “envy” and “greed” when he decided to “raise the price of life-saving drugs as Americans’ lives are at stake.”

Shkreli is already serving a seven-year prison sentence for securities fraud committed while managing two hedge funds, although the drug itself – Daraprim – is at the center of both cases.

Shkreli launched Vyera, then known as Turing Pharmaceuticals, in 2015. That’s when he acquired Daraprim, an affordable anti-infective used to treat sometimes fatal parasitic infections, from the current sole supplier. Shkreli then raised the price from $17.50 to $750 per tablet.

Kote found that Shkreli made illegal agreements with generic drug makers to delay the introduction of cheaper versions of the drug after he raised the price.

“Shkreli does not dispute that he intended to prevent generic drug companies from launching competitive products that would threaten the price of Daraprim,” the judge wrote. “Prosecutors have shown that the restrictions implemented by Vyera succeeded in doing exactly that.”

Last month, Vera and another former CEO, Kevin Moledy, agreed to pay up to $40 million to resolve their participation in a federal antitrust lawsuit brought by New York and other states.

(Updates to detail from litigation)


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