Darren Blanton, 52, founder of the investment company Colt Ventures, testified he put $1.25 million into Shkreli’s hedge fund in 2011, but had second thoughts when he found out that the administrator Shkreli claimed helped run his fund denied working for him.
For three years, Blanton said he and his staff pestered Shkreli to return his money. In 2014, Blanton said Shkreli finally turned over $200,000 and gave him 160,000 restricted shares in Retrophin. He later gave him another 200,000 shares.
Brafman pointed out that from his $1.25 million investment, Blanton got $1.6 million back and is still holding 150,000 Retrophin shares worth about $3 million.
Earlier in the trial, another investor testified she made a $2.7 million profit from the sale of Retrophin shares Shkreli gave her when he repaid the initial $300,000 she invested. It took about a year to get her money and Retrophin stock, Sarah Hassan told the jury at the start of the trial.
Shkreli’s Social Media Antics and Other Reporters’ Notes from Trial
In his visit with reporters on Friday, Shkreli cited that testimony.
“It was kind of interesting that the victim of this case made 10 times her money,” he told reporters. “We should all only be this victimized in life.”
It’s those kinds of comments that prompted the judge Wednesday to impose the partial gag on Shkreli.
Shkreli, who broadcasts much of his life online, also commented on the trial in internet videos, his Facebook page and, according to prosecutors, on Twitter, despite having been banned from the site for harassing a female journalist. The account @BLMBro, which Shkreli allegedly used, was suspended recently.
Brafman defended Shkreli’s comments to the reporters saying he had a right to defend himself against an onslaught of negative media coverage. Brafman also insisted a gag order wasn’t necessary.