Former hedge fund manager acquires life-saving drug, raises price 5,555% to $750/pill

This is the story that keeps giving.

Ex-drug executive Shkreli has $40 million trading loss: U.S.

When Shrkeli posted bail, he secured $5 million bond by putting up his E*trade account, which had $45 million of securities in it. As it turns out, most of what he owned were his shares in KaloBios -- the stock he sent through the roof when he acquired more than half of the outstanding shares in November.

Then the doof got arrested, the stock price tanked and the company filed for Chapter 11 bankruptcy. The value of his E*trade account is down to $4 to $5 million (from $45 million), and the prosecutor was in court today saying he may need to come up with more assets if he wants to stay out of jail while he awaits trial.

I have so many thoughts:

1) The fact that he had $45 million of stock sitting in an E*trade account has to be because no major brokerage will take his business after his debacle with Lehman when he was running his fund. It's ridiculous.

2) Even more ridiculous is that he apparently had nearly all of his liquid assets (with claims against him, his net worth has to be negative) in that one stock is hysterical. He may be the worst gambler who has ever lived.

3) There was significant short interest in Kalio when the douchebag bought his shares, and those people got run over when the stock price went through the roof. The asshole took glee in it. What is it they say about karma? Unfortunately, it doesn't do anything for the people who got run over because of him. They were right. ... but lost their money anyhow.

 

Shrkeli is sitting in front of a congressional hearing right now w/ a bunch of other witnesses. It's a circus. It will be grandstanding at its best.

From what his lawyer said, he is going to do a Mark McGwire and not answer questions. It would be awesome if he keeps saying he's not there to talk about the past.

 

If anyone has the chance, you might want to turn on the TV and find this hearing. He keeps invoking the fifth, while the congresspeople lecture him. he is sitting there smirking and looking like a douche. His lawyer tried to talk and got shut up by the chairman. It's a pretty ridiculous spectacle.

EDIT: Too late. They just excused him -- he got badgered by Trey Gowdy and Elijah Cummings, invoked the fifth about 15 times, smirked and looked away while he got lectured. ... and then they essentially just told him to get up and leave. I understand invoking the fifth from a legal standpoint, but his upcoming trial has a big PR component to it. And that was NOT good PR for him.

 

He had ample opportunity to call them imbeciles to their faces. I respect invoking the fifth when you are under indictment, but then STFU. You can't be full of bravado AND protect yourself with the fifth. Pick one or the other. Trying to have it both ways is just more douchiness. This guy is so clueless.