A Biotech Company Escalates the War Against Its Own Founder

The company demands that Martin Shkreli surrender more than $65 million in allegedly misused company assets

Martin Shkreli went from biotech short seller to founder of a startup focusing on drugs for rare diseases.

Photographer: Paul Taggart/Bloomberg

In stepping up a bizarre legal battle with its own founder, the biotech company Retrophin has made a most unusual allegation: that it was created in 2011 and taken public shortly thereafter merely to provide shares for the founder and former chief executive, Martin Shkreli, to hand out to aggrieved investors in an insolvent hedge fund.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.