Turing Pharma CEO Martin Shkreli Arrested on Fraud Charges

Turing Pharma CEO Martin Shkreli Arrested on Fraud Charges

Martin Shkreli, the Turing CEO that dominated headlines after hiking up the price of an established medicine, has been arrested by the FBI this morning.

He’s been detained on separate fraud charges, stemming from a drug company he previously headed, Retrophin, and a hedge fund, MSNB Capital Management, where he was a fund manager.

According to Reuters, he’s accused of illegally using Retrophin assets to pay off debts, after MSMB lost millions of dollars.

This is the latest headline grabber from the chief executive of Turing Pharmaceuticals, who infamously raised the price of Daraprim from $13.50 to $750 after his company acquired the AIDS and parasitic infection medicine. This was a catalyst for Hilary Clinton to wage war against price gouging by pharmaceutical companies.

The FBI has allegedly been investigating Shkreli since January, when Retrophin received a subpoena to uncover the relationship between the company and Shkreli.

The Securities and Exchange Commission, which according to court documents opened an investigation into Shkreli in 2012, is expected to file a parallel civil complaint against him, according to people familiar with the matter.

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