Mediaboss Marketing

Xconomy New York

After days of deliberation, a New York jury Friday afternoon found Martin Shkreli guilty of securities fraud.

According to a report from CNBC, the jury in the civil case said that Shkreli is guilty on three of eight counts, two of which are securities fraud and the other conspiracy to commit securities fraud. Shkreli, according to the CNBC report, could face up to 20 years in prison upon his sentencing. Shkreli was charged with conspiracy for bilking investors in his New York-based hedge funds, MSMB Capital Management and MSMB Healthcare, and looting his own biotech firm, Retrophin (NASDAQ: RTRX), to cover investments gone wrong at MSMB.

Those actions took place from 2009 to 2014, according to the government. Shkreli left Retrophin in September 2014, and the company filed suit against him soon after. Many of those allegations lined up with the charges filed by the Securities and Exchange Commission against Shkreli and his lawyer, Evan Greebel, in late 2015.

By then, Shkreli was running a new company, Turing Pharmaceuticals, and had gained worldwide notoriety as the pharma bro for raising the price of pyrimethamine (Daraprim), an off-patent drug often used by people with HIV to ward off parasitic infections, from $13.50 to $750 a pill. Shkreli compounded the backlash by taunting his critics and showboating on social media.

Shkreli left Turing after his arrest. He also got the boot from KaloBios Pharmaceuticals (NASDAQ: KBIO), a Bay Area biotech that Shkreli and allies had grabbed in a hostile takeover. Under Shkreli, KaloBios had designs to buy a drug for Chagas disease, which is endemic to Latin America, and raise its prices to levels comparable to hepatitis C drugsthat is, in the neighborhood of $80,000 a year.

At a Congressional hearing on drug pricing in early 2016, Shkreli pleaded the fifth amendment, invoking his Constitutional right not to testify. Afterwards, he insulted the committee members on Twitter.

Shkrelis abrasive personality factored into his trial, as well. After calling the prosecution junior varsity in comments to reporters, and taking to Twitter under an alias (he had been permanently banned under his own name for harassing a reporter), the federal judge presiding over the case issued a gag order on Shkreli.

Before Shkreli, Gilead Sciences (NASDAQ: GILD) and its hepatitis C drugs were the focal point for industry critics, but his notoriety seemed to galvanize public opinion against high drug prices. Shkrelis Turing and other pharma price-gougers, such as Valeant Pharmaceuticals (NYSE: VRX) and Mylan (NASDAQ: MYL), maker of the Epi-Pen anti-allergy injection, took turns in the shame spotlight. When President-elect Trump said in January that drug companies were getting away with murder, the die seemed cast. Washington was prepared to take on the thorny problem of drug pricing, the industrys lobbying muscle be damned.

It hasnt happened. A draft of a presidential executive order on drug pricing that has circulated this summer seems to benefit drug companies, not rein them in.

There is no word yet when a final order is due, or if one is even coming. But Eli Lilly (NYSE: LLY) CEO David Ricks said last week on a conference call that he expects one in the second half of 2017. In the wake of the Republicans failed effort to repeal the Affordable Care Act, a.k.a. Obamacare, Democrats have plugged their own agenda, including drug-price controls. Sen. Bernie Sanders (I-VT) unveiled his own plan this week.

Alex Lash is Xconomy's National Biotech Editor. He is based in San Francisco.

Read the original here:
Report: Martin Shkreli Faces Prison Term After Fraud Conviction - Xconomy

The Colorado Springs man who police say held three men at gunpoint last summer on Independence Pass has denied the allegations in response to a lawsuit.

In addition to the denials, Brolin McConnell, 31, also maintains his Fifth Amendment rights, which guard against self-incrimination.

McConnell faces criminal charges of attempted murder, first-degree kidnapping and menacing, among other counts. He has been in jail ever since his arrest on July 27, 2016, following what the alleged victims said was a terrifying and frightening ordeal on Lincoln Creek Road.

Its unclear why McConnell, a Front Range real estate agent, allegedly held the men hostage and made bizarre statements and demands, including one for $100 million. Law enforcement initially suspected he was on methamphetamine, but a drug screen showed only a trace of marijuana in his blood.

He shot twice near one hostage, including a bullet that whizzed by the mans ear, causing hearing damage, according to the lawsuit and police reports. That man and two others were able to escape, and McConnell surrendered after being rushed by sheriffs deputies and an Aspen police officer at gunpoint. He has been held in jail on a $500,000 bond ever since.

In June, the three men sued him in Pitkin County District Court, claiming assault, battery, false imprisonment, extreme and outrageous conduct and negligent infliction of emotional distress.

The criminal case has halted after the district attorneys office appealed a judges dismissal or reduction, in February, of three felony counts, including attempted murder after deliberation, though a charge of attempted murder with extreme indifference was upheld. The disputed charges are now in the hands of the Colorado Court of Appeals.

McConnell has yet to speak in court or enter a plea; his first attorney waived advisement of the charges. At a preliminary hearing in January, in which a judge upheld some of the charges and dismissed or reduced others leading to the appeal Sarah Oszczakiewicz said the current bond was appropriate to protect the public. She cited jail recordings of conversations McConnell had with family members that show him instructing relatives to sell all his possessions to pay for legal representation. That includes multiple firearms, including AR-15 and AK-47 rifles, she said, adding that McConnell told his family he wanted to go live in the woods and forgo society.

On July 24, McConnells attorney, Scott Mikulecky of Colorado Springs, answered the lawsuit with a filing in which all of the allegations are denied.

The plaintiffs claims are barred or reduced by failure to mitigate their damages, the answer says, employing standard, boiler-plate legalese. Defendant expressly reserves all Fifth Amendment rights and privileges.

On Tuesday, Mikulecky moved to stay the lawsuit.

Defendant contends that in order to avoid undue prejudice against him, and to allow him and his counsel to prepare for the criminal trial, this court should stay these civil proceedings until the criminal trial has been completed, says the motion to stay the civil proceeding.

It says that McConnell, during the criminal proceeding, will be advised by his attorneys to invoke the Fifth Amendment in relation to the lawsuit.

And not until the criminal trial is concluded, and any appeals exhausted, will defendant be instructed by counsel that he will no longer have the ability to invoke these Fifth Amendment rights, Mikulecky wrote.

The motion, which the plaintiffs attorney, Ryan Kalamaya of Aspen, did not oppose, was approved by a judge on Wednesday.

chad@aspendailynews.com

Continued here:
Independence Pass defendant denies multiple allegations - Aspen Daily News

Van Buren County, Mich.Can the government take your home and all your equity in it if you fall behind on your property taxes or like many people in Flint, Mich. refuse to pay your water bill?

The state of Michigan and a handful of other states think so. These states odd tax laws allow counties to take and sell tax-delinquent properties and keep all the profits from the sale no matter how small the tax debt or how valuable the property.

After bus driver Henderson Hodgens fell behind on his 2011 property taxes for the home and farm where he grew up in Geneva Township, Van Buren County took and sold his property. He owed $5,900 in taxes, penalties, interest, and fees. He thought hed be able to pay it when he got his tax refund. But health problems left him unexpectedly unable to pay or to sell before the county foreclosed. Van Buren County sold his property in 2014 for $47,500. The county kept every penny of what was left of Hendersons inheritance. His one tangible tie to his lost property is his old, broken-down tractor. It is something that reminds me of my dad, reminds me of my property, he said. And at least they cant take this from me I dont think.

Likewise, Wayside Church, a small, struggling church located in a southern section of Chicago, lost its former youth camp in western Michigan when financial troubles left the church unable to pay on time. The church owed $16,750. Van Buren County sold it for $206,000, yielding a massive windfall for the government. The $190,000 profit that the county pocketed could have gone a long way for the impoverished church, which has a new pastor but few funds to help him realize his hopes of working with area youth or even paying utility bills.

Other counties across Michigan are also taking advantage of property owners distress. Thousands of people every year are losing valuable properties to pay much smaller tax debts. Wayne County is capitalizing on its most vulnerable populations, using the high interest rates imposed on tardy taxpayers and highly profitable sales of tax-foreclosed properties to balance its budget. And in a shocking display of injustice, the city of Flint recently threatened, under this same confiscatory tax law, to take homes from residents who refuse to pay their water bills due to the citys crisis with tainted water. Flint has backed off from this approach for now, but under state law it may still choose to act on its threats in the future.

Arizona, Massachusetts, Minnesota, North Dakota, and Oregon similarly leave distressed homeowners without any chance to claim the surplus profits from the sale of their tax-indebted properties. Minnesotas tax law may be the most curious, because the states supreme court once recognized that the right to the surplus exists independently of [any] statutory provision. In other words, it is one of the unalienable rights recognized by our Founders, which courts must protect, no matter what a statute might say.

On July 13, Hodgens and Wayside Church petitioned the Supreme Court to put an end to the injustice caused by such confiscatory tax statutes, and to hold that the takings clause requires Van Buren County to refund the windfalls it took at their expense. This case is our last hope, said Reginald Hill, a deacon at the church.

The takings clause of the Fifth Amendment provides that the government cannot take private property unless it pays just compensation. The Supreme Court has repeatedly said that the purpose of the takings clause is to bar Government from forcing some people alone to bear public burdens which, in all fairness and justice, should be borne by the public as a whole.

Fairness and justice demand that the government take only what it is owed. It is neither fair nor just for the government to swallow up life savings and livelihoods in the name of balancing government budgets. The duty of securing a healthy public fisc belongs to the public as a whole not just those who are struggling to get by. The government violates the takings clause when it forces property owners who are unable to pay their property taxes to bear more than their share of the tax burden.

Should the Supreme Court accept the appeal, it will be presented with a threshold jurisdictional issue before it can address the merits: It must make it clear that federal courts have jurisdiction to hear the takings claims in Hodgens and Wayside Churchs petition. Although this point may seem like common sense, the Sixth U.S. Circuit Court of Appeals struggled with it in this case. Thats not too surprising, though, because the Supreme Court has for a few decades made it harder for plaintiffs to enforce their Fifth Amendment property rights than other constitutional rights, by requiring takings lawsuits to start in state court, a venue that is often more deferential to state and local regulators and regulations. Even convicted felons have a better chance of a day in federal court.

Hopefully the Supreme Court will put a stop to these takings for good and will open wide the federal courthouse doors for people who are being robbed by the government. But in the meantime, Michigan and states like it would do well to do some soul searching and change course.

Christina Martin is an attorney with Pacific Legal Foundation, a national nonprofit organization that seeks to provide liberty and justice for all. She is counsel of record in Henderson Hodgenss and Wayside Churchs petition to the Supreme Court.

Continue reading here:
Michigan Turns Foreclosure into a Government Self-Enrichment Machine - National Review

Video Gallery - WTXL Video Template

TALLAHASSEE, Fla. (WTXL)- Jury selection continues Tuesday in the trial of a quadruple murder suspect

WTXL ABC 27's Stephen Jiwanmall reported from the Leon County Courthouse.

Henry Segura has swapped an inmate jumpsuit for a suit.

His trial is getting underway nearly seven years after his girlfriend Brandi Peters and her three children were killed.

The state and the defense questioned more than 50 jurors.

The judge said they'll start narrowing down the field based on how familiar jurors are with the case and whether they have any hardships. In other words, can they serve during the whole trial?

The trial is expected to go for three weeks, and jurors will need to be here for all of it.

In other news this Monday morning, former gang member James Santos, who admitted last week to ordering the murders, is now "unsure" about testifying and invoking his Fifth Amendment rights.

The judge has ordered a competency evaluation to determine whether Santos can offer truthful testimony under oath.

Opening arguments won't start before Wednesday morning. The state says it's working on getting a key witness to testify about when the murders happened.

Check back for later developments.

MOBILE USERS:Download our WTXL news app on yourAppleandAndroiddevices for the latest from South Georgia and North Florida. Also, download our WTXL Weather Now app forAppleandAndroiddevices to get the latest local weather wherever you go.

Visit link:
Quadruple murder suspect's trial continues - WTXL ABC 27

This article first appeared on the Just Security site.

It emerged late last week that President Trump has reportedly queried his lawyers regarding the nature and scope of his authority to pardon individuals including himself.

Over the weekend, Trump tweeted a nothing to see here message while asserting his pardon power was complete, presumably meaning absolute.

Daily Emails and Alerts - Get the best of Newsweek delivered to your inbox

While not limitless, the authority of the President to pardon is undeniably substantial. The President cannot pardon for prospective crimes or violations of state criminal law. There is a strong argument that he cannot pardon himself and certainly cannot insulate himself or others from the conviction of impeachment, as expressly stated in the Constitution.

But other than these and perhaps other narrow limitations, a Presidents pardon powers is vast. Indeed, the Presidents power to pardon others including his family members for past federal crimes, even without evidence of specific criminal investigation or prosecution, is arguably plenary in nature.

Not surprisingly in the context of the investigation into Russian interference in our election, Trumps reported interest in pardons has generated an avalanche of commentary exploring the legal limits of presidential pardon authority.

Donald Trump walks along the West Wing colonnade with his daughter Ivanka Trump and his son-in-law and Senior Advisor to the President for Strategic Planning Jared Kushner, March 17, 2017 in Washington, DC. Chip Somodevilla/Getty

Less attention, however, has been paid to why President Trump has not exercised his pardon authority yet, especially with so many of his confidants caught in a web of a criminal inquiry. This is the issue I focus on here.

Some may argue that if Trump were to pardon close confidants say his campaign manager Paul Manafort, the Trump-identified foreign policy advisor Carter Page, Senior Advisor and son-in-law Jared Kushner or his National Security Advisor Michael Flynn the optics would be undesirable and the political fallout substantial.

This is undoubtedly true, President Gerald Ford arguably never recovered politically from the pardoning of President Richard Nixon. But given Trumps record, I am highly skeptical that these political concerns are a sufficient deterrent to exercise his authority.

Unpleasant optics because of his flagrant norm violations thus far have hardly served as significant inhibitions for this President.

He did not release his tax returns as every president has for half a century. He ignored anti-nepotism laws. He discussed on the campaign trail imprisoning his political opponent. He ignores the Emoluments Clause of the Constitution.

The norm transgressions are so substantial that t he Just Security site has a section dedicated to it. There is an outcry. But that outcry and the optics simply do not seem to bother this President or his most ardent supporters. Nor do they seem sufficient to alienate him from almost all of the elected Republicans in Congress, at least so far.

It must be something else. Most likely the President has been informed of one important fact about his pardon power, anyone he pardons is no longer under criminal jeopardy for federal crimes and, accordingly, Fifth Amendment protection for self-incrimination evaporates.

Manafort, Page, Kushner, and Flynn at this point pre-pardon need not answer any questions from Robert Mueller, Congress or anybody. The Fifth Amendment of the United States Constitution provides no person shall be compelled in any criminal case to be a witness against himself.

Once pardoned, however, there is no legal jeopardy for past federal crimes. Therefore, the Fifth Amendment can no longer be a shield and permit Trumps pardoned associates from refusing to answer questions under penalty of perjury.

This creates a paradox for President Trump. When he pardons an individual, they are free from possible prosecution but they are also uncloaked of their most robust constitutional protection.

This may well be why President Trump has not pardoned Flynn, for example. Given the reported substantial contacts between Flynn and Russian government emissaries, given Flynns patent falsities including on federal forms completed under penalty of perjury, Flynns only protection presently from being compelled to testify including possibly against the President and others is the Fifth Amendment self-incrimination clause.

Imagine if that was no longer a shield. Grand Jury, FBI Agents, Congress all could drill Flynn under oath. Any material prevarication would be punishable as perjury. At that point Flynns personal interest will be to tell the truth, even if that truth incriminates the President who fired him.

So the pardon of presidential associates is a double-edged sword. On the one hand, he will ensure they are not prosecuted if they committed crimes in furtherance of the Presidents interest. On the other, once pardoned, the interest of the pardoned associates likely diverges from the President.

If crimes were committed that implicate the President and his family and I do not believe we have sufficient evidence to answer that conclusively at this time prior to being pardoned, a Trump associate is 100 percent within their rights to simply say nothing. But not afterwards.

One caveat worth noting is that because the Presidents pardon power is limited to federal crimes, the Fifth Amendment may offer protection if the pardoned individual is still under jeopardy for state crimes.

However, I do not see this as a substantial issue at this point because in the main, the possible criminal liability of which we are presently aware in the Russia probe seem distinctly federal in nature, e.g., the Computer Fraud and Abuse Act, failure to complete federal disclosure forms truthfully, false statements to the FBI, or obstruction of justice in a federal case, for example.

It is true that we cannot be certain where the investigation will go and it could probe violations of state law. This seems most likely with financial crimes. Money laundering, for example, is illegal both under federal law and New York state law (the most likely state jurisdiction relevant here). And in such fairly circumscribed cases, the pardoned individual would still enjoy Fifth Amendment protection in discussing facts of relevance to those cases.

But I dont think this wrinkle should distract from the main point: The Presidents exercise of his pardon power is not a panacea. There are political costs to be sure. Many will ask, why do you need a pardon if no crime was committed similar to how President Trump discussed a grant of immunity: If youre not guilty of a crime, what do you need immunity for?

It will thereafter be a political cudgel and add to the narrative of a President hell-bent on covering up crimes he committed or that others committed on his behalf.

He fires Comey because of the Russia probe as President Trump himself made clear in the Lester Holt interview. He has confirmed his upset with Sessions because his recusal self-neutered the Attorney Generals ability to defend the President. He attacks Mueller in an attempt to discredit any future findings of wrongdoing. And if he pardons, the story will surely and understandably be that it is another attempt to evade accountability.

These political restraints, as in so many other areas, will not be sufficient to deter this President. However, the realization that anyone he pardons, unless also under jeopardy of state law prosecution, has lost the right against self-incrimination and can be compelled to testify truthfully under pain of contempt and perjury, may well explain this Presidents failure to pardon anyone thus far and may prove a continuing reason not to pardon associates in the future.

In this way, if the President exercises his pardon power down the road, it may signal a certain desperation. It may mean that the investigation is getting close. It will mean he has calculated that whatever the pardoned individual is compelled to testify under oath is less damaging to him and his interests than if the individual was not pardoned but squeezed by prosecutors. It will mean that the political weight of nothing to see here has been overcome by the legal weight of personal and family legal jeopardy.

Keith Harper is a Partner at Kilpatrick, Townsend & Stockton LLP. From 2014 to 2017, he served as United States Ambassador and Permanent Representative to the U.N. Human Rights Council.

Read the rest here:
Why Hasn't Trump Already Pardoned Kushner, Flynn, Page and Manafort? - Newsweek