Business

US FTC, states put Shkreli on trial for price hike

FILE PHOTO: Former drug company executive Martin Shkreli leaves US District Court after being found guilty of securities fraud in the Brooklyn borough of New York City
FILE PHOTO: Former drug company executive Martin Shkreli leaves U.S. District Court after being found guilty of securities fraud in the Brooklyn borough of New York City, U.S., August 4, 2017. REUTERS/ Carlo Allegri / File Photo

December 14, 2021

By Luc Cohen and Brendan Pierson

NEW YORK (Reuters) – Trials kicked off Tuesday at the U.S. Federal Trade Commission and several states’ civil lawsuits accuse Vyera Pharmaceuticals founder Martin Shkreli of blocking generic versions of the drug. save Vyera Daraprim’s life, one week after resolution https:// www. reuters.com/business/healthcare-pharmaceuticals/ftc-settles-with-vyera-over-daraprim-shkreli-ligation-go-2021-12-07 with company.

U.S. District Judge Denise Cote, who is presiding over the no-jury trial in Manhattan federal court, began by calling the case “very important to the public.” Shkreli, who is serving a seven-year prison sentence for securities fraud, was not present.

The FTC and states have accused Shkreli of masterminding an illegal scheme to buy Daraprim and guarantee exclusivity to it so Vyera could raise its price to $750 each, from $17.50, a the move that made Shkreli known as “Pharma Bro” https://www.reuters.com/article/us-usa-crime-shkreli/pharma-bro-martin-shkreli-to-stay-behind-bars-loses- appeal-of-conviction-idUSKCN1UD1ZW in 2015. The drug treats toxoplasmosis, a parasitic infection that threatens people with weakened immune systems.

Vyera, founded in 2014 as Turing Pharmaceuticals, acquired Daraprim from Impax Laboratories Inc in 2015. The FTC and states allege that the company subsequently prevented generic drug manufacturers from obtaining samples for development. develop their own versions of the drug and reach an agreement with the only U.S. supplier of the drug’s active ingredient to prevent sales to competitors.

They argued that the company’s actions violated federal antitrust laws and harmed patients. The first generic version of Daraprim was approved in 2020.

Vyera and former CEO Kevin Mulleady settled the case https://www.reuters.com/business/healthcare-pharmaceuticals/ftc-settles-with-vyera-over-daraprim-shkreli-ligation-go-2021- 12-07 against them last week. The agreement requires Vyera to pay $10 million in advance plus up to $30 million over 10 years and bar Mulleady from most roles in the pharmaceutical industry for seven years.

Shkreli was found guilty in 2017 of defrauding investors into two hedge funds and attempting to raise the stock price of another pharmaceutical company he led, Retrophin Inc.

(Reporting by Brendan Pierson in New York, Editing by Alexia Garamfalvi, Matthew Lewis and Nick Zieminski)

https://www.oann.com/u-s-ftc-states-to-take-shkreli-to-trial-over-price-hike/?utm_source=rss&utm_medium=rss&utm_campaign=u-s-ftc-states-to-take-shkreli-to-trial-over-price-hike US FTC, states put Shkreli on trial for price hike

Bobby Allyn

USTimeToday is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – admin@ustimetoday.com. The content will be deleted within 24 hours.

Related Articles

Back to top button