Vyera and its parent company, Phoenixus AG, settled the claims shortly before trial in December 2021, agreeing to pay between $10 million and $40 million. Another executive, Kevin Mulleady, also accepted a seven-year ban from most roles in the pharmaceutical industry.
U.S. District Judge Denise L. Cote found Shkreli liable for antitrust violations after a seven-day bench trial in January 2022. In addition to banning Shkreli from the pharmaceutical industry, Judge Cote ordered him to pay $64 million in disgorgement for the profits Vyera made from the price hike, with the amount offset by previous settlement payments.
Shkreli’s $64M Disgorgement rehearing : Second Circuit Ruling Affirmed Disgorgement
In January, the Second Circuit upheld the lower court’s decision, finding that Shkreli’s lifetime ban was necessary to protect the public from future anticompetitive behavior. The court also rejected Shkreli’s argument that he couldn’t be ordered to disgorge profits along with his company under New York law. The court deemed joint-and-several liability appropriate because Shkreli was seen as the mastermind behind the anticompetitive scheme, directly benefiting from the profits as Vyera’s founder and largest shareholder.
