Nothing Really “New” — Just Well-Said… More Investors On Stand Today…

I’ve been following Wonkette since at least 2002. She is snarky — and almost uniformly spot on, in her manifold writings on political matters. The Wonkster’s morning take, just like the link PathoPhilia provided us in comments last evening (but NSFW), is worth reading — for huge grins.

This morning, she quotes one bit of the transcript, a part that I haven’t seen set forth in as much detail, elsewhere in the MSM — but other than that, regular readers here will garner no new factual information. It is just good fun. [She also nicely echoes, and amplifies, the FTD dressing down of the now dormant “BLMbro” handle — both of you are clearly right about it. Ugly.]

Enjoy — as we await some real time tweeting from the pool reporters, inside the ceremonial courtroom.

Mr. Brafman’s cross-examination of Mr. Blanton (an investor) ought to continue this morning.

Condor’s Take: There may be several longish side-bars, since Mr. Brafman will have to pre-clear the emails he wants to use for impeachment with Judge Matsumoto. All of this because Mr. Brafman did not pre-clear them at the motion in liminae (pre-trial) stage. So trial narrative flow is likely to be interrupted sporadically today.

For his part, Mr. Brafman says he has to hear the witness live to decide how best to impeach him or her — but this is also a way to make the government’s case seem… disjointed, with all the side bars about emails — between Martin Shkreli and Mr. Blanton (or any other government witness/investor). [But it seems Mr. Brafman is intent on also using it to create side-shows — like asking whether this witness felt homosexuality was an abomination against God and the Bible, at the end of the day yesterday. But that issue has zero relevance to anything at all in this criminal case, for securities and wire fraud.

That is — Mr. Brafman must first convince the able judge that the witness is lying (about something germane to this case), then and only then may he introduce at least one or two emails — to confront the witness with his words. But there is no allegation that anyone thinks Mr. Shkreli is gay, so questions about the investor’s views on the matter are… patently irrelevant. And likely to appeal to juror biases.]

Staying away from irrelevant pandering, then, it is an at least marginally-lawful way for the defense to mess with the AUSAs’ “flow” and “mo jo“. . .

Now you know. [Hey — that rhymes! H/T to Pathophilia!]

नमस्ते

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21 thoughts on “Nothing Really “New” — Just Well-Said… More Investors On Stand Today…

  1. bmartinmd says:

    Another bit of testimony from Stewart, per https://uk.finance.yahoo.com/news/former-shkreli-employee-says-apos-222500563.html:

    “Stewart testified that ‘the implosion of MSMB Capital was the catalyst, the genesis, that gave birth to Retrophin, the biotech company.'”

    It was always my impression, my suspicion, that Shkreli founded Retrophin precisely for the purpose of raising substantial venture capital so that he could make MSMB whole and ultimately pay off his hedge-fund investors (and so they wouldn’t go to the SEC, tarnish his reputation, and make general trouble). Shkreli’s surprising new-found concern for children with muscular dystrophy was a faux-altruistic cover, IMO. The report that Shkreli was concerned that Merrill Lynch would “come after Retrophin” speaks to his concern about maintaining an all-important asset pipeline from Retrophin to MSMB and his burned investors.

    Liked by 1 person

    • FTD says:

      Whoa, it just becomes even more clearer with that statement. Why is retrophin so goddamn bullet proof? The research data sounds made up, everything sounds fabricated.

      These dan mangan tweets… good god. 🙂

      Liked by 1 person

      • bmartinmd says:

        Let’s remember that others who came on board with the Shkreli’s business model for Retrophin aren’t necessarily angels. They were more than willing to go along with the purchase of the US rights to Thiola, a treatment for a rare kidney disease, and then jack up the price from $1.50 per pill to $30. Same model for Retrophin’s 2 other revenue-generating products. The company does have a small, but apparently legitimate, pipeline, however.

        From what I understand and recall, Retrophin became much more financially sound–even robust–after Shkreli left/was booted from the company. But it’s got to be hard to f*ck up that extortionist business model for selling longstanding pharmaceuticals for rare diseases.

        Liked by 1 person

  2. billythekid9919 says:

    OUCH,

    “Stewart testified that soon after the Orexigen trade, she was called into a room at MSMB Capital’s office by another employee, who showed her a screen displaying the fund’s stock positions.

    “The assets were just barely north of $2 million,” Stewart said.

    Stewart’s testimony contrasted with the picture Shkreli painted at the time for investors in MSMB Capital. He was allegedly telling them the fund had between $30 million to $40 million in assets under management.

    Before the Orexigen trade, Stewart said, Shkreli was claiming MSMB Capital had between $200 million to $250 million in assets under management during meetings with bankers. Shkreli also claimed the fund had investment returns of between 20 and 25 percent.”

    Liked by 2 people

    • bmartinmd says:

      According to the Caroline Stewart’s LinkedIn page, she has a JD (Rutgers, 2016), an MS in molecular and cell biology and an MS chemistry (Brandeis, 1993 and 1997), and a BA in chemistry (Columbia, 1992).

      Report on Stewart’s testimony when first meeting Shkreli (http://www.nydailynews.com/new-york/ex-shkreli-worker-testifies-nasty-moods-fraud-trial-article-1.3306265):

      “Stewart’s first impression of Shkreli was a phone call around 2004 or 2005 to discuss a stock when the two were at different companies.

      “It was quickly obvious the ‘purpose was more to mock me and make me feel stupid,’ said Stewart, who has two master’s degrees, in chemistry and molecular and cell biology. ‘I didn’t feel stupid. I just felt it was a waste of my time.'”

      Liked by 1 person

    • condor says:

      Exactly — the case is now newsworthy enough, that the word from 30 Rock is to hold the good stuff for end of day “exclusives”.

      Hilarious!

      Liked by 1 person

  3. billythekid9919 says:
    • condor says:

      Well it would not shock me to learn that dear Mr. Shkreli had some undisclosed interest in ALXN — another parked bonus of shares… but this smells of reimbursement shenanigans (alleged)… not exactly our boy’s M.O….

      But he may just have hung out with some like minded (libertarian) thieves on ALXN, as well…

      Should be good fun!

      Great heads up Billy!

      Namaste…

      Liked by 1 person

    • bmartinmd says:

      I think Brafman is bolder in his attempts. He wants to argue that Shkreli is a genius. THAT, I strongly object to.

      Shkreli’s smart like every flunky guy I knew in college who said that he could have a 4.0 GPA if he only tried or cared.

      Liked by 2 people

  4. FTD says:

    They really really need to stop using witnesses like this. It is going to make the jury more sympathetic toward Martin when it comes to verdict. We don’t need any more Blanton’s,Hassan’s, we need someone that the jury can I-D-E-N-T-I-F-Y with, imo. 🙂

    Liked by 1 person

    • condor says:

      You have to trust the process, FTD — the wheels of justice grind slowly, but very finely. He will be … dust, in the end.

      And there are not likely any “mom & pop” investors in any Shkerli vehicles…. they are all purported “Masters of the Universe”…

      34 witnesses to go…

      Smile — Namaste

      Like

      • FTD says:

        Condor, I know. This is one of the reasons I could never be a lawyer among many others. 🙂 One other thing that I think is important.

        Every time Martin brings up the rare disease story of the Billionaire’s friend, it strikes me as something off about it . He has this old letter card that he flashes to the screen every once n a while on his youtube stream being a thank you note from a sick child .

        I think there are all kinds of nasty illegal practices happening at Retrophin & Turing. AND i think by Martin mentioning the rare disease terminal ill children, it acts as sort of a shield against criticism with his business practices.

        In fact, I was reminded of this by this little part that Blanton said:

        “Shkreli set out on founding that company after hearing from Blanton about a boy, Joshua Frase, who had a rare muscular condition known as myotubular myopathy, which killed him at age 15 in 2010.

        Blanton testified that, in addition to trying unsuccessfully for years to get Shkreli to grant him a promised 20 percent “founder’s share” in Retrophin, Shkreli never fulfilled his promise to give either the Joshua Frase Foundation or Joshua’s dad Paul each a 3.3 percent stake in Retrophin”

        What other charities were not fulfilled by Martin?

        Liked by 2 people

      • bmartinmd says:

        Pretty much anybody who chose to invest or work with Shkreli is going to be a compromised jerk in some way. Even before Shkreli made himself famous, most people would’ve run miles away from the kind of guy he so transparently is.

        Liked by 2 people

      • condor says:

        Last witness of the day today was a former girlfriend (okay the had a few dinner dates)… who also worked for him — and testified that she never heard him tell the truth about the OREX short losses. In fact he was telling investors that the hedge fund had many multiples of its actual value under management.

        She also said he said he didn’t want the banks to whom he owed tens of millions of dollars to get their hands on “his” Retrophin assets/stock.

        Good luck with trying to cross examine THAT testimony into a positive or neutral (for Mr. Shkreli), Mr. Brafman!

        Namaste!

        Liked by 1 person

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