Martin Shkreli’s Net Worth Allowed Him To Buy A $2M Album? Gets Arrested For Securities Fraud
The widely hated Martin Shkreli, the Pharmaceutical CEO who recently bought Wu-Tang Clan's $2 million album, was arrested for securities fraud that is now heavily affecting his net worth, as stated by sources.
Martin Shkreli was arrested Thursday securities fraud that charged him relating to his time at Retrophin, a bio-pharmaceutical he founded, and his time at MSMB Capital Management, a hedge fund that factored in for his massive net worth, as reported by the Washington Post.
As of now, the charges against him Shkreli had nothing to do with his management of Turing Pharmaceuticals, the company that bought the drug,"Daraprim," for $55 million and increased its selling price by way over 4,000%, which garnered the CEO a bad reputation, as stated by the source.
The crimes that Martin Shkreli are being charged of was described by Federal officials as somewhat similar to a Ponzi scheme, wherein the former would use his funds from his own company to pay off the loss of profit and revenue from his investors in his hedge funds, according to the NY Times.
"Shkreli essentially ran his company like a Ponzi scheme where he used each subsequent company to pay off defrauded investors from the prior company," Robert Capers, a Brooklyn US Attorney, said at a conference with the press, courtesy of Bloomberg.
"Personally, I think Martin Shkreli has become wealthy at the expense of the public good," 2006 Hunter College High School alumna, Katie Uva, stated in an email response, courtesy of the source.
"I don't believe for a second that his manipulation of drug prices fuels valuable research as he has claimed," she added.
In recent news, Martin Shkreli's net worth enabled the CEO to acquire and purchase the iconic hip-hop group, Wu-Tang Clan's, rare single-copy album, "Once Upon A Time In Shaolin," for $2 million, as previously reported.
As such, when officials were questioned as to whether or not the federal agents were able to seize the rare album, the US attorney Capers answered reservedly, according to NY Times.
"I wondered how long it was going to take to get to that," the attorney said. "We're not aware of where he got the funds that he raised to buy the Wu-Tang Clan album," he added.
