'Pharma Bro' sentenced to seven years in prison

NEW YORK — The self-promoting "Pharma Bro" vilified for jacking up the price of a lifesaving drug has been sentenced to prison for securities fraud.

Pharmaceutical executive Martin Shkreli (SHKREL'-ee) was sentenced Friday to seven years in prison by U.S. District Judge Kiyo Matsumoto (KEE'-yoh maht-soo-MOH'-toh) after he was convicted last year of lying to investors in two failed hedge funds.

Shkreli cried as he told the judge that he made many mistakes and he apologized to investors.

His attorney argued that he deserved 18 months or less and shouldn't be punished for being outspoken. The judge says she did not take his outside actions into account.

Shkreli had been free on bail until a judge jailed him for offering a $5,000 bounty to anyone who could get a lock of Hillary Clinton's hair last year.

He remains in custody.

Shkreli's lawyer said he sometimes wants to hug his client and sometimes wants to punch him in the face, but he told a federal judge at his sentencing hearing Friday that his outspokenness shouldn't be held against him.

Attorney Benjamin Brafman wants U.S. District Judge Kiyo Matsumoto to sentence the former pharmaceutical company CEO known for trolling critics on the internet to 18 months in prison. He was convicted of securities fraud last year for defrauding investors in two failed hedge funds.

Federal prosecutors say he deserves at least 15 years behind bars for pilfering funds behind his investors' backs to start the drug company and cover up his fraud.

Matsumoto ruled earlier this week that Shkreli would have to forfeit more than $7.3 million in a brokerage account and personal assets including his one-of-a-kind Wu-Tang Clan album that he boasted he bought for $2 million. The judge said the property would not be seized until Shkreli had a chance to appeal.

Shkreli, 34, became notorious for raising the price of a lifesaving drug by 5,000 percent and trolling critics on the internet with his snarky "Pharma Bro" persona.

To make its case for leniency, the defense asked the judge to consider several letters from Shkreli and his supporters, which included professionals he worked with who vouched for his credentials as a self-made contributor to pharmaceutical advances.

Other testimonials were as quirky as the defendant himself. One woman described how she became an avid follower of Shkreli's social media commentary about science, the pharmaceutical industry, but mostly, about himself. She suggested that those who were annoyed by it were missing the point.

"I really appreciate the social media output, which I see on par with some form of performance art," she wrote.

Another supporter said Shkreli's soft side was demonstrated when he adopted a cat from a shelter — named Trashy — that became a fixture on his livestreams. Another letter was from a man who said he met Shkreli while driving a cab and expressed his appreciation at how he ended up giving him an internship at one of his drug companies.

And then there was this from Shkreli: "I was wrong. I was a fool. I should have known better."

In court filings, prosecutors argued that Shkreli's remorse about misleading his investors was not to be believed.

"At its core, this case is about Shkreli's deception of people who trusted him," they wrote. "Indeed, he compounded the lies with a pattern of corrupt behavior designed to cover up those lies. He lied to get investors' money, he lied to keep them invested in his funds and he lied once those investors wanted their money back."

Even after his arrest in 2015, Shkreli went against his lawyers' advice to lay low by taunting authorities in Facebook posts. And after his conviction last year, the judge revoked his bail and jailed him when he said he would pay a $5,000 bounty to anyone who could get a lock of Hillary Clinton's hair while the Democrat was on a book tour.