Martin Shkreli Takes the Fifth Before Congress

‘Pharma Bro’ Martin Shkreli has pled the fifth in his appearance before congress today after being called to account for a massive 5000% price gouging on lifesaving medication Daraprim recently acquired by the former Turing Pharaceuticals CEO. The 60-year-old drug’s price was hiked from $13.50 a tablet to $750 overnight, sparking outrage earlier this year.

The Congress hearing took place to examine the price increases in the pharmaceutical industry and Shkreli agreed to give testimony last month on the condition that Congress would grant him immunity.

“I’m know you’re smiling but I’m very serious, sir”, Cummings said.

Rep. Trey Gowdy, a South Carolina Repulican, tried pointing out that the Fifth Amendment protection applies to cases where someone actually risks incriminating himself or herself.

In December, Shkreli was arrested and charged with running his investment funds and companies nearly like a Ponzi scheme.

Sitting in a tee-shirt and jeans, the 32-year-old – who has been highly criticised for raising the price of a life-saving drug by 5000 percent – discussed topics ranging from his $2 million Wu-Tang Clan album to how he felt about appearing before Congress after being subpoenaed.

Shkreli – who ceaselessly shares details from his personal life on social media – invoked his Fifth Amendment rights at least 10 times, even when the questions drifted far from his business tactics.

So the Congressional committee lectured him – especially the ranking Democrat Rep. Elijah Cummings.

Shkreli said in an email to one contact: “We raised the price from $1,700 per bottle to $75,000”. By hiking up the price of Daraprim, a toxoplasmosis treatment used by AIDS patients, by 5000%, Cummings said that Shkreli was taking advantage of Turing’s customers.

The hearing focused on major problems with the prescription drug market: price increases, obscure pricing and regulations for generic drug alternatives.

Instead, he antagonized lawmakers during his almost 45 minutes on the stand by smirking, twirling his pencil, doodling, and posing for pictures, while refusing to answer any questions about drug prices.

After the hearing, Shkreli’s lawyer, Benjamin Brafman, attributed his client’s behavior to “nervous energy”. You could go down in history as the poster boy for greedy pharmaceutical executives, or you could change the system.

Rep. John Mica, R-Fla., noted that he had “never seen the committee treated with so much contempt”.

Outside the hearing room, Brafman held a brief press conference, in which he said it was “extraordinarily unfair” that Shkreli had been singled out, calling him a “hero”.

Valeant shares rose more than 5 per cent during the hearing.

USA lawmakers and the Federal Trade Commission are now investigating whether the company violated anti-trust laws.