'Pharma Bro' Martin Shkreli Is Allegedly Disregarding His Pharmaceutical Industry Ban and His $64.6 Million Penalty – And the FTC Isn't Pleased
Shkreli was released from prison in May after serving five years for security fraud.
The Federal Trade Commission has a bone to pick with 'Pharma Bro' Martin Shkreli – again.
Peter Foley/Bloomberg via Getty Images
Despite being banned from the pharmaceutical industry after he notoriously hiked the price of a lifesaving drug from $13.50 to $750 in 2015, in addition to serving five years in prison for securities fraud, the FTC fears Shkreli might be trying to get back into the drug business.
Shortly after Shkreli was released from prison in May, he formed a new company called Druglike Inc. in July, however, according to a court filing from U.S regulators, Shkreli has yet to comply with the FTC's request for more information about his latest venture.
In October 2022, the FTC began a new investigation into his "Web3 drug discovery software platform," according to CNN, and he's yet to provide the requested documents and appear for interviews.
The FTC also claims that Shkreli hasn't paid his $65.6 million penalty, which he was slapped with in February along with his pharma industry ban. According to CNN, Shkreli was supposed to pay back the funds from his drug price hike by March 2022, and he has yet to do so.
On Friday, the FTC asked a judge to hold Shkreli in contempt for allegedly stalling its investigation into his new business. But Shkreli's lawyers say "this is a misunderstanding with the FTC," according to Reuters, adding that Druglike Inc. is a software company and not a drug company.
However, according to the court filing, Shkreli has "made no efforts to comply with this provision of the Order."
A judge has yet to decide if the request for contempt will move forward.
Entrepreneur Editors' Picks
-
This Co-Founder Was Kicked Out of Retailers for Pitching a 'Taboo' Beauty Product. Now, Her Multi-Million-Dollar Company Sells It for More Than $20 an Ounce.
-
Have You Ever Obsessed Over 'What If'? According to Scientists, You Don't Actually Know What Would Have Fixed Everything.
-
After He Was Fired From the UFC, This Former Fighter Turned His Passion Into a Thriving Business
-
Most People Don't Know These 2 Things Are Resume Red Flags. A Career Expert Reveals How to Work Around Them.
-
How One Woman Turned Pandemic-Induced Boredom and a Makeshift Garage Art Studio Into a Thriving Franchise
-
Use These 4 Self-Care Rituals for More Resilience and Less Depletion
-
Shark Tank's Barbara Corcoran Wants to Invest in 'Someone Who Probably Needs a Good Shrink Instead of a Business'
