Former U.S. drug company executive Martin Shkreli will be held responsible for $10.4 million in financial losses when he is sentenced for defrauding investors, a federal judge ruled on Monday, rejecting his argument that he did not cause any losses because his investors eventually came out ahead.
The ruling from U.S. District Judge Kiyo Matsumoto could mean more prison time for Shkreli, since the amount of financial loss plays a major role in federal sentencing guidelines. While Matsumoto must consider the guidelines at the sentencing, which is scheduled for March 9, she is not bound to follow them.
Shkreli has been in jail since September, when Matsumoto revoked his bail after he offered a $5,000 bounty for a strand of Hillary Clinton’s hair in a Facebook post. He was convicted of lying to investors about the performance of two hedge funds he controlled, MSMB Capital and MSMB Healthcare, and of conspiring to manipulate the stock price of a pharmaceutical company he founded, Retrophin Inc.