Martin Shkreli indictment [pdf] • Hacker News Board

Re: Martin Shkreli indictment [pdf]

#31

Post by Nicholas_C » Thu, Dec 17, 2015, 7:42 PM UTC

amateur_soclgst wrote: post #18

the_hangman wrote: post #13

> On or about December 2, 2010, Investor 1 [...] asked SHKRELI in an email about, inter alia, the fund's assets under management and the names of its independent auditor and fund administrator. SHKRELI told Investor 1 that MSMB Capital had $35 million in assets under management and that the fund's independent auditor and administrator were Rothstein, Kass & Company, P.C. and NAV Consulting Inc., respectively. At the…

I found it funnier how they tried to short sell $1M of stock and somehow got $7M in the hole. Must have been some leverage on that deal :v

It's actually very easy to do that.

Re: Martin Shkreli indictment [pdf]

#32

Post by lloyd-christmas » Thu, Dec 17, 2015, 7:45 PM UTC

astrodust wrote: post #20

davesque wrote: post #15

Interesting that the crime which was "serious" enough to motivate law enforcement was theft of capital, NOT drug price gouging. It had nothing to do with Daraprim. Of course, Mr. Shkreli's recent popularity in the headlines may have greased the wheels of this investigation a bit. Update : As has been pointed out, this comes as no surprise since this kind of price gouging is perfectly legal.

As it stands, there's no law against price gouging. As morally questionable as his pricing is, there's nothing illegal about it. "Being a dick" isn't a criminal offense. Yet.

Hopefully it never is. One person's dick may have another person's respect. umm... figuratively.

Re: Martin Shkreli indictment [pdf]

#33

Post by digikata » Thu, Dec 17, 2015, 7:45 PM UTC

davesque wrote: post #15

Interesting that the crime which was "serious" enough to motivate law enforcement was theft of capital, NOT drug price gouging. It had nothing to do with Daraprim. Of course, Mr. Shkreli's recent popularity in the headlines may have greased the wheels of this investigation a bit. Update : As has been pointed out, this comes as no surprise since this kind of price gouging is perfectly legal.

Price gouging may be perfectly legal in the drug price context, but it gives cause to re-examine a whole range of implicit assumptions re: how capitalism is allowed (encouraged?) to operate vs how well it delivers benefits to society.

Re: Martin Shkreli indictment [pdf]

#34

Post by roddux » Thu, Dec 17, 2015, 7:46 PM UTC

Posted earlier with a slightly easier-to-digest summary at https://news.ycombinator.com/item?id=10753102

In short, he was arrested for securities fraud. This isn't related to his price-hiking antics, rather it involves his work running pharmaceutical companies and lying to investors.

Re: Martin Shkreli indictment [pdf]

#35

Post by mvgoogler » Thu, Dec 17, 2015, 7:46 PM UTC

jackhack wrote: post #16

kstrauser wrote: post #4

I'm very conflicted: 1) "Innocent until proven guilty" and "wow, that timing sure is convenient". 2) LOL. grabs a bucket of popcorn

I am the only one hoping the judge offers bail, then raises it 5000% over the norm?

I saw a story that his lawyer did exactly that: http://www.newyorker.com/humor/borowitz-report/lawyer-for-ma...

I really want it to be true...

Re: Martin Shkreli indictment [pdf]

#36

Post by oxide » Thu, Dec 17, 2015, 7:47 PM UTC

pc86 wrote: post #26

jackhack wrote: post #16

Earlier quoted context omitted.

I am the only one hoping the judge offers bail, then raises it 5000% over the norm?

No sense giving the defense any more reasons for appeal. Whether the guy is a scumbag or not, whether he has a lot of money or not, the criminal justice system should not be imposing undue burden or punishment based on public opinion regarding a matter that isn't even relevant to the case. I won't lose any sleep when this guy goes to prison for a long time, but no sense doing nonsense that will only mildly inconvenie…

any chance he doesn't end up in prison, though?

I might be naive, but I'm under the impression that the book doesn't get thrown at white-collar criminals in the US.

what are the odds he just ends up on probation?

Re: Martin Shkreli indictment [pdf]

#37

Post by kamilszybalski » Thu, Dec 17, 2015, 7:48 PM UTC

danso wrote: post #29

Seriously disappointing news. Shkreli seemed like such an obvious troll in how he defended his price gouging by saying that a CEO's role is to maximize profit for the benefit of shareholders...and yet did so in such an unnecessarily obnoxious way that if he truly were the uber-capitalist, he would know that bragging and drawing attention to what an asshole you are does not achieve the true capitalist goal. I would've…

Kind of like what Trump is doing...

Re: Martin Shkreli indictment [pdf]

#38

Post by slantedview » Thu, Dec 17, 2015, 7:49 PM UTC

digikata wrote: post #33

davesque wrote: post #15

Interesting that the crime which was "serious" enough to motivate law enforcement was theft of capital, NOT drug price gouging. It had nothing to do with Daraprim. Of course, Mr. Shkreli's recent popularity in the headlines may have greased the wheels of this investigation a bit. Update : As has been pointed out, this comes as no surprise since this kind of price gouging is perfectly legal.

Price gouging may be perfectly legal in the drug price context, but it gives cause to re-examine a whole range of implicit assumptions re: how capitalism is allowed (encouraged?) to operate vs how well it delivers benefits to society.

Agree with your point, though patent protection for drugs is a government provided benefit and has little to do with capitalism. The government (us) provides this benefit and we (the people) usually don't get enough in return.

Re: Martin Shkreli indictment [pdf]

#39

Post by skrebbel » Thu, Dec 17, 2015, 7:49 PM UTC

danso wrote: post #29

Seriously disappointing news. Shkreli seemed like such an obvious troll in how he defended his price gouging by saying that a CEO's role is to maximize profit for the benefit of shareholders...and yet did so in such an unnecessarily obnoxious way that if he truly were the uber-capitalist, he would know that bragging and drawing attention to what an asshole you are does not achieve the true capitalist goal. I would've…

So, if not a troll / performance artist, what is he then? Just a very stupid person with a bloated ego? How does someone so stupid make it to CEO of a pharmaceutical company at 32?

Re: Martin Shkreli indictment [pdf]

#40

Post by zem » Thu, Dec 17, 2015, 7:49 PM UTC

mvgoogler wrote: post #35

jackhack wrote: post #16

Earlier quoted context omitted.

I am the only one hoping the judge offers bail, then raises it 5000% over the norm?

I saw a story that his lawyer did exactly that: http://www.newyorker.com/humor/borowitz-report/lawyer-for-ma... I really want it to be true...

sadly, borowitz is the new yorker's satire columnist.