Pharma Bro Shkreli has bail revoked, lands in jail

UPDATE — 9/20, 6:12 p.m. EDT: Court documents seen by multiple media outlets show a federal New York judge ordered Martin Shkreli undergo a psychological examination.

During “Pharma Bro’s” fraud trial, a former employee of Shkreli’s at hedge fund MSMB Capital Management testified the now-convicted 34-year-old was “mentally unstable” for paying her a lesser salary than what was agreed to.

In addition, Shkreli’s lawyer admitted his client may be “just nuts”, “strange” and “weird” during opening arguments at the July trial. 

 

Weeks after being convicted in a New York federal court, Martin Shkreli was jailed Wednesday until he faces sentencing on two counts of securities fraud and one count of conspiracy to commit securities fraud.

Shkreli had been free on a $5 million bond since his 2015 arrest.

A judge in Manhattan ordered the convicted swindler, nicknamed the “Pharma Bro,” for a Facebook post offering $5,000 for a strand of former Democratic presidential candidate Hillary Clinton’s hair.

Shkreli wrote on Monday, Sept. 4:

“The Clinton Foundation is willing to KILL to protect its secrets.  So on HRC’s book tour, try to grab a hair from her. I must confirm the sequences I have.”

“Will pay $5,000 per hair obtained from Hillary Clinton.”

In revoking Shkreli’s bail agreement, Judge Kiyo Matsumoto called the former pharmaceutical executive a “danger to the public.”  Matsumoto declared the post on social media a “solicitation of assault” which posed a risk to Mrs. Clinton’s safety.

Following Matsumoto’s ruling, Shkreli apologized and claimed his Facebook post did not violate freedom of speech laws and that he is not a danger to society. Previously, the former pharmaceutical chief executive explained that the solicitation was an “awkward attempt at humor or satire.”

Unmoved, Judge Matsumoto later told reporters Shkreli owes not the court, but Mrs. Clinton, the government and the U.S. Secret Service the apology.

“One ongoing concern of mine is that (Shkreli) has been touted as a brilliant young man, the mind of his generation, yet he lacks the ability to understand what’s appropriate,” the presiding judge said.

Before his court appearance on Wednesday, Shkreli lashed out on Facebook after he was told that federal prosecutors were seeking to vacate the terms of his bond.

“F— the government,” he wrote. “I will never kiss their ring or snitch. Come at me with your hardest because I haven’t seen anything impressive yet.”

Shkreli faces up to 20 years behind bars for his fraud conviction.  He is scheduled to be sentenced on Jan. 16, 2018, and will remain at the maximum security Sunset Park detention facility in Brooklyn, New York, until at least that date.

 

[The Independent] [New York Post] [CNBC] [Photo courtesy Bloomberg/Getty Images via CNBC]