Business

Martin Shkreli sentenced to 7 years in prison

by Avery Anapol and Nathaniel Weixel - 03/09/18 2:02 PM ET

Former drug company CEO Martin Shkreli has been sentenced to seven years in prison, according to multiple reports.

Prosecutors had asked U.S. District Court Judge Kiyo Matsumototo to sentence Shkreli to up to 15 years in prison for deceiving hedge fund investors.

{mosads}

Shkreli, the former CEO of Turing Pharmaceuticals, came into the national spotlight after he raised the price of the drug Daraprim, an anti-parasite drug used by AIDS patients.

His actions prompted a national outcry and has fueled the recent attention from the Trump administration and members of Congress over the rising prices of drugs.

His sentencing was related to securities fraud connected to two hedge funds he operated. Shkreli was convicted last August. He was convicted of lying about losses in the funds, and paying investors back with money stolen from another drug company he founded, called Retrophin.

Judge Matsumoto said issues of drug pricing were up to Congress, and did not play into the sentencing.

Shkreli was ordered earlier this month to forfeit $7.36 million in assets, including a Picasso painting and single copy Wu-Tang Clan album.

Matsumoto ruled last week that Shkreli would be held responsible for $10.4 million in financial losses linked to his time as head of Turing Pharmaceuticals.