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KaloBios terminates Shkreli as CEO
But Bloomberg News reported Sunday at least two of the medical centers participating in a clinical trial of that drug had suspended their work after Shkreli’s arrest.
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The KaloBios ouster marks the latest setback for the 32-year-old healthcare industry entrepreneur who has drawn widespread criticism for imposing steep price hikes in the cost of drugs controlled by his companies.
Shkreli became the chief executive of KaloBios in November after obtaining 70 percent of its outstanding shares.
United States authorities brought charges against Shkreli on Thursday.
The charges against him stem from his time at drug company Retrophin.
The Martin Shkreli saga continues to unfold.
Mr. Shkreli was arrested last Thursday because of securities fraud. Federal officials are accusing Shkreli of committing fraud at his hedge funds, which carry the MSMB name, then looting his previous biotech company, Retrophin, to pay off the people he defrauded. He faces 20 years in prison if convicted. The price went from $13.50 to $750 per pill. Daraprim is the only approved drug for a life-threatening parasitic infection that mainly strikes pregnant women, cancer patients and AIDS patients.
If you happen to follow Martin Shkreli-the former CEO of a pharmaceutical company who’s now facing a slew of charges for USA securities fraud-on Twitter, you may have noticed some unusual changes in his profile over the weekend.
Speaking to the Wall Street Journal, he claimed “most people don’t know the real Martin Shkreli”, adding that his unpleasant online persona is “a bit of an act”. Shkreli tweeted Saturday: “I am confident I will prevail”. Posts including “I am now a god”, “Anyone want free money?” Shkreli said he saw promise in one of KaloBios’ drug candidates as a possible treatment for a rare form of leukemia.
KalosBios Pharmaceuticals was a faltering business until Mr Shkreli was revealed to be an executive and key shareholder last month, when its shares climbed dramatically. Trading will not resume until the company satisfied Nasdaq’s request for additional information, the exchange said in a statement.
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No replacement to serve in Shkreli’s role has been announced by KaloBios. “The allegations against me are baseless and without merit”, he wrote.