Wednesday, December 8, 2021

NYPD Announces November Crime Statistics for November - Crime in New York City increased by 21.3% in November 2021, compared with November 2020

 

Department Highlights Efforts Over Past Eight Years to Reduce Crime and Strengthen Ties with New Yorkers

 For the month of November 2021, the number of murders declined in New York City compared with November 2020: Murder decreased by 17.2% (24 v. 29) for the month. Sustained declines in murders drove murders down, year-to-date through November, by 0.5% (434 v. 436) compared with the same period last year.

On enforcement, the NYPD has continued its work to strategically build long-term cases and focus on the drivers of violence. The Department has also maintained a focus on street enforcement. New York City’s Police officers made 334 gun arrests for the month of November, bringing the total number of gun arrests in 2021 to 4,144. This is a 7.8% increase compared to 3,844 gun arrests year-to-date through November 2020. This represents the largest number of year-to-date gun arrests since 1995.

Overall index crime in New York City increased by 21.3% in November 2021, compared with November 2020 (10,186 v. 8,396). Burglary saw a 5.7% decrease for November 2021 (1,266 v. 1,342), Robbery increased by 24.1% (1,418 v. 1,143) and Felony Assault increased by 11.2 % (1,868 v. 1,680). Through November 2021, overall index crime year-to-date increased by 3.4% compared to 2020 (91,185 v. 88,173).

A look back: 2014 to 2021

A look back on the past eight years shows New York City has experienced significant crime reductions. Overall index crime has decreased by 11% since 2013, when 101,755 index crimes were recorded, and by 46% since 2000, when there were 169,424 index crimes.

Today, six of eight NYPD patrol boroughs have experienced overall index crime declines over the last eight-years – that are in large measure a reflection of the work developed and implemented by NYPD’s leaders as part of their real time management of ever-present public safety concerns.

These gains were part of a long-term strategy that began in 2014. Technology played a key role.

  • A ShotSpotter gunshot detection system was installed around the city to give police officers a head start the moment shots were fired. The system has since expanded.
  • Police officers received smartphones – placing troves of inward-facing data available to commanders at Police Headquarters into the hands of those on our city’s streets. Officers for the first time could read the text of 911 calls, directly contact the citizens who called, dial up 911 histories of city addresses, and search criminal and warrant status.
These technology advances allowed the NYPD to embrace its precision policing model. The Detective Bureau honed a laser-focused on the “trigger pullers,” those few violent actors who drive the majority of violent crime in New York City.
  • The launch in 2014 of the Gun Violence Suppression Division.
  • The targeted dismantling of a particularly violent set of crews responsible for a rash of shootings across Brooklyn.
  • Taking this strategy citywide and working hand-in-hand with the city’s five District Attorneys, in takedown after takedown, the Gun Violence Suppression Division and other Detective Bureau squads drove enforcement efforts that resulted in shooting incidents decreasing in targeted areas.
  • So far in 2021, the NYPD has conducted 33 gang takedowns and made 118 corresponding arrests, yielding precipitous declines in shootings across several neighborhoods.
Annual numbers of shootings incidents in New York City declined to 721 in 2019, from 1,024 in 2013. In 2020 and 2021, the city faced unprecedented challenges: COVID-19, which affected thousands of officers, and crippled the state court system; citywide protests that strained police resources; and a flood of guns from out of state as well as “ghost guns” that are assembled at home and are untraceable to the purchaser.

Shootings have persisted in pockets of the city, increasing both in 2020 and through November of 2021, to levels not seen since the mid-2000s. For this past November, citywide shooting incidents have experienced an uptick of 2.6% (119 v. 116), compared to the same period a year ago, and rose 2% year-do-date through November – though they were down in Brooklyn, Queens and Staten Island.

Curtailing gun violence remains the top priority. This intelligence-driven approach is led in part by the NYPD’s Intelligence Bureau. Its Field Intelligence Teams were expanded by over 200 investigators to increase focus on debriefing prisoners about gun crimes, supporting long-term gang and crew investigations, gathering evidence for strong prosecutions, and propelling the comprehensive mission of precision-policing.

Recidivist Fraudster And Co-Conspirator Charged In Covid-19 Relief Loan, Identity Theft, And Money Laundering Scheme

 

 Damian Williams, the United States Attorney for the Southern District of New York, and Keith A. Bonanno, Special Agent in Charge of the Department of Justice Office of the Inspector General (“DOJ OIG”) Cyber Investigations Office, announced today that an Indictment was filed in Manhattan federal court charging ADEDAYO ILORI and CHRIS RECAMIER for a fraudulent scheme to obtain more than $7 million in Government-guaranteed loans designed to provide relief to small businesses during the COVID-19 pandemic.  In connection with loan applications for relief available from the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loan (“EIDL”) Program, ILORI and RECAMIER falsely represented to the Small Business Administration (“SBA”) and private lenders that they operated a number of companies, used stolen identities, and submitted falsified tax documents.  RECAMIER and ILORI are both in custody. 

U.S. Attorney Damian Williams said: “As alleged, Adedayo Ilori has made quite a habit of committing loan fraud.  While previously facing similar charges in a separate case involving loan and identity fraud – to which Ilori pled guilty in April of this year – he is once again alleged to have committed similar conduct to defraud the SBA and private lenders in an attempt to steal much-needed COVID-19 financial relief.  Ilori and his co-defendant, Chris Recaimer, now face criminal charges for attempting to steal over $7 million in funds specifically designated to assist small businesses struggling with financial hardships from the worldwide COVID pandemic.”

DOJ OIG Special Agent in Charge Keith A. Bonanno said: “Ilori and Recamier allegedly stole the identities of individuals and companies and fraudulently obtained over a million dollars intended to help those suffering from hardship due to the COVID-19 pandemic. The Pandemic Response Accountability Committee COVID-19 Task Force is dedicated to rooting out these kinds of schemes and bringing the fraudsters to justice.”

According to the Indictment unsealed today in Manhattan federal court, the Complaint filed against RECAMIER on October 8, 2021, and filings made on public court dockets:[1]

The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic.  One source of relief provided by the CARES Act was the authorization of hundreds of billions of dollars in forgivable loans to small businesses for job retention and certain other expenses through the SBA’s PPP.  Pursuant to the CARES Act, the amount of PPP funds a business is eligible to receive is determined by the number of employees employed by the business and its average payroll costs.  Businesses applying for a PPP loan must provide documentation to confirm that they have previously paid employees the compensation represented in the loan application.  The CARES Act also expanded the separate EIDL Program, which provides small businesses with low-interest loans of up to $2 million that can provide vital economic support to help overcome the temporary loss of revenue they are experiencing due to COVID-19.  To qualify for an EIDL loan under the CARES Act, the applicant must have suffered “substantial economic injury” from COVID-19.

From at least in or about August 2020 through at least in or about October 2021, ILORI and RECAMIER, prepared to apply, and applied for numerous PPP and EIDL loans.  In applying for these loans, ILORI and RECAMIER claimed stolen identities of third parties.  In the role of these assumed identities, ILORI and RECAMIER claimed full control of a number of companies, which they purported, cumulatively, employed more than 200 people and paid more than $3.2 million in monthly wages.  In reality, they did not operate these companies.  In submitting these applications ILORI and RECAMIER, among other things, submitted falsified tax documents that were never actually filed with the Internal Revenue Service.

ILORI and RECAMIER attempted to obtain over approximately $7.5 million in PPP and EIDL program funds, and successfully obtained more than $1 million as a result of their scheme.  ILORI and RECAMIER transferred the majority of these funds toward (1) cryptocurrency investments, (2) the purchase of stocks, (3) cash withdrawals, and (4) personal expenses.  The investment accounts were also opened by ILORI and RECAMIER in the stolen identities of third parties.

ILORI committed these offenses while facing charges in a separate case filed in the Southern District of New York involving fraud, identity theft, and money laundering in United States v. Ilori, 20 Cr 378 (LJL).  As part of that case, ILORI pled guilty on April 8, 2021, to conspiracy to commit mail and wire fraud and conspiracy to commit money laundering, and is currently awaiting sentencing.    

ADEDAYO ILORI, 42, of Brooklyn, New York, and CHRIS RECAMIER, 58, of New York, New York, are charged with (1) major fraud against the United States, which carries a maximum sentence of 10 years in prison; (2) conspiracy to commit wire and bank fraud, which carries a maximum sentence of 30 years in prison; (3) wire fraud, which carries a maximum sentence of 30 years in prison; (4) bank fraud, which carries a maximum sentence of 30 years in prison; (5) aggravated identity theft, which carries a mandatory consecutive sentence of two years in prison; and (6) conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison.  The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.           

Mr. Williams praised the investigative work of the DOJ OIG, which conducted the investigation on behalf of the Pandemic Response Accountability Committee (PRAC) COVID-19 Task Force.[2]  Mr. Williams also thanked the U.S. Secret Service, the Drug Enforcement Administration, the New York City Police Department, the Federal Bureau of Investigation, and the Federal Aviation Administration for their assistance in this investigation.

The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and Complaint, and the description of the Indictment and Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.

[2] Created by the CARES Act, the PRAC serves the American public by promoting transparency and facilitating coordinated oversight of the federal government’s COVID-19 pandemic response. The PRAC’s 22 member Inspectors General identify major risks that cross program and agency boundaries to detect fraud, waste, abuse, and mismanagement in the more than $5 trillion in COVID-19 spending.

Attorney General James Delivers Up to $200 Million to Help New York Combat Opioid Crisis, Allergan Agrees Not to Sell Opioids

 

Funds Would Be Paid in Full by Mid-2022, Would Be Used for Opioid Treatment and Prevention

AG James Has Negotiated for Up to $1.7 Billion to Be Delivered to NYS for Opioid Abatement

AG James’ Trial Against Final Remaining Opioid Manufacturer Moves to Closing Arguments Today

 New York Attorney General Letitia James today announced an agreement with opioid manufacturer Allergan Finance, LLC and its affiliates that would deliver up to $200 million to New York state to help combat the opioid crisis. The agreement resolves claims brought by Attorney General James for the company’s role in helping to fuel the opioid epidemic and requires the company to make full payment of the $200 million by mid-2022 if certain conditions are met — more than $150 million of which will go towards opioid abatement. Since June alone, Attorney General James has now negotiated to bring back up to $1.7 billion to combat the opioid epidemic. Today’s agreement also makes enforceable a bar stopping Allergan and all of its subsidiaries, predecessors, and successors from selling opioids in New York and acknowledges Allergan’s prior exit from the opioid business. As a result of today’s agreement, Allergan will be removed from New York’s ongoing opioid trial, currently underway in Suffolk County State Supreme Court. 

“For more than two decades, opioids have wreaked havoc on New Yorkers and Americans across the nation — causing pain, addiction, and death,” said Attorney General James. “Our ongoing trial has been about the role companies like Allergan and its predecessors played in helping grow this epidemic, profiting while Americans suffered. But today’s agreement keeps Allergan out of the opioid business for the next decade and has the company paying as much as $200 million. We’ve now negotiated up to $1.7 billion for critical opioid treatment, prevention, and education programs. While no amount of money will ever make up for the thousands who lost their lives or became addicted to opioids across our state, these funds will be used to prevent future devastation.”

In March 2019, Attorney General James filed the nation’s most extensive lawsuit to hold accountable the various manufacturers and distributors responsible for the opioid epidemic. In addition to Allergan, the manufacturers named in the complaint included Purdue Pharma and its affiliates, as well as members of the Sackler Family (owners of Purdue) and trusts they control; Janssen Pharmaceuticals and its affiliates (including its parent company Johnson & Johnson); Mallinckrodt LLC and its affiliates; Endo Health Solutions and its affiliates; and Teva Pharmaceuticals USA, Inc. and its affiliates. The distributors named in the complaint were McKesson Corporation, Cardinal Health Inc., Amerisource Bergen Drug Corporation, and Rochester Drug Cooperative Inc. 

As part of today’s agreement, Allergan will pay New York state a total of $200 million if certain conditions are met.

On top of this payment, Attorney General James negotiated robust injunctive relief. Allergan will be prohibited from promoting opioids or opioid products through sales representatives, sponsorships, financial support, or any other means; will not be allowed to provide financial incentives to its sales and marketing employees for the sale of these products; and will not, directly or indirectly, provide financial support or in-kind support to any third party that primarily engages in conduct that promotes opioids or opioid products.

Allergan will not be allowed to use, assist, or employ any third party to engage in any activity that Allergan itself would be prohibited from engaging in pursuant to today’s agreement.

Further, Allergan will be prohibited from lobbying federal, state, or local legislative or regulatory authorities about opioids or opioid products.

Finally, Allergan will have to make additional information about opioids and opioid products more accessible to the public, including to patients, health care providers, and others. Allergan will share its clinical data with a third-party data center or platform owner to allow researchers qualified under the program to access the company’s propriety data under the terms of the project.

Today’s agreement would additionally resolve lawsuits against Allergan by Nassau and Suffolk counties if the county legislatures approve the agreement. In the meantime, Attorney General James, this morning, made a motion to remove Allergan from New York’s opioid trial.

In September, an agreement with Endo was reached that has already delivered $50 million to New York state and Nassau and Suffolk counties to combat the opioid crisis and removed the opioid manufacturer from New York’s ongoing opioid trial.

Also, in September, the bankruptcy court in Purdue confirmed a $4.5 billion plan — at least $200 million of which will be earmarked for New York — from the Sackler family and foundations that they control, will end the Sacklers’ ability to manufacture opioids ever again, and will shut down Purdue Pharma.

In July, a settlement with McKesson, Cardinal Health, and Amerisource Bergen that will deliver up to $1 billion to New York state to combat the opioid epidemic was announced.

In June, a settlement that ended Johnson & Johnson’s sale of opioids nationwide and that will deliver $230 million to New York alone was announced.

The deals with Johnson & Johnson, McKesson, Cardinal Health, and Amerisource Bergen have a global value of approximately $26 billion.

The cases against Mallinckrodt and Rochester Drug Cooperative are now moving separately through U.S. Bankruptcy Court.

The trial against the final remaining defendant — Teva Pharmaceuticals USA — is currently underway, with closing arguments slated to begin today.

Pursuant to the new law establishing the opioid settlement fund, all funds collected by the state from opioid settlements or litigation victories will be allocated specifically for abatement efforts in communities devastated by the opioid epidemic and will not go towards the state’s general fund.

Separately, but related to her work on opioids, this past February, Attorney General James co-led a coalition of nearly every attorney general in the nation in delivering more than $573 million — more than $32 million of which was earmarked for New York state — toward opioid treatment and abatement in an agreement and consent judgment with McKinsey & Company.

25 Days and Counting - Political Stunts at Community Board 7's Christmas Tree Lighting

 


Hey Ruben, What's this I hear about last night's Christmas Tree lighting at Community Board 7? District Manager Ischia Bravo turned it into a political show by having Assemblywoman Nathalia Fernandez's new District Leader candidates on stage. First she wouldn't let the current Female District Leader Irene Estrada speak as District Leaders and State Committee people have in the past, or is was because I hear that the District Manager is rumored to be the Female District Leader candidate. The Male District Leader candidate was called on stage by Fernandez's incumbent State Committeewoman. That guy had no business being on the stage with the community board members and elected officials such as Councilman Eric Dinowitz. 


Then I hear when my favorite pesky reporter Robert Press asked the CB 7 District Manager Ischia Bravo why a non CB 7 board member who is Assemblywoman Fernandez's Male District Leader candidate was on the stage, she yelled at him "are you harassing me", and told him to leave a public community board event or she would call the police to remove him. What's up in your community boards, maybe this District Manager should be suspended or removed as the District Manager Ruben?

The NYC Streets Plan has been Released! Register now for a Listening Session - Tuesday Dec 14 1-3 PM, Thursday Dec 16 6 - 8 PM

 


Click the buttons below or go to nyc.gov/nycstreetsplan to read the NYC Streets Plan and register for a listening session:

Register: Virtual Listening Session - Tuesday, December 14, 1-3 PM
Register: Virtual Listening Session - Thursday, December 16, 6-8 PM

On December 1, the New York City Department of Transportation (NYC DOT) released the NYC Streets Plan! The five-year Plan is geared towards improving the safety, accessibility, and quality of the City’s streets for all New Yorkers.

This summer, the NYC Streets Plan team heard from roughly 14,000 New Yorkers from across all five boroughs on how to improve the places they walk, drive, bike, ride the bus, and spend time with friends. This outreach featured a series of ten virtual public workshops, the launch of a virtual engagement platform in ten languages, and telephone interviews to ensure we received input from residents in areas of the city that have been historically underrepresented. Feedback helped us craft recommendations and identify priorities for the next five years.

NYC DOT invites you to attend one of our upcoming virtual listening sessions to present the NYC Streets Plan and hear feedback from New Yorkers. This is a key component of the Streets Plan Public Education Campaign. Listening sessions will occur on Tuesday, December 14, from 1-3 PM and Thursday, December 16, from 6-8 PM.

All sessions are open to anyone who would like to attend. They will be conducted in English and Spanish with the opportunity to request live interpretation services in other languages.


For questions, please email nycstreetsplan@publicworkspartners.com.

Stay up to date with more information on the NYC Streets Plan
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EDITOR'S NOTE:

The plan’s recommendations can be summarized as follows: 
Street Design: Do more – Build on our existing successful street design programs, including: 
» Implement more and better safety redesign projects to meet Vision Zero goals 
» Expand infrastructure for transit, cycling, and pedestrians 
» Solve bottlenecks in the project implementation process 
Transformative Ideas: Take on new efforts needed to achieve our goals, including: 
» Reduce dangerous vehicles and drivers on our streets 
» Dramatically increase automated enforcement 
» Reform on-street parking 
» Improve connectivity around our highways 
Equity Focus: Add an explicit equity lens to our work, including: 
» Focus investment in areas that need it most 
» Engage communities proactively about transportation in their neighborhoods 
» Make the city accessible to all.

Governor Hochul Updates New Yorkers on State's Progress Combating COVID-19 - DECEMBER 7, 2021

 Clinical research for Novel Coronavirus (COVID-19) at Wadsworth Laboratory

105,392 Vaccine Doses Administered Over Last 24 Hours    

52 COVID-19 Deaths Statewide Yesterday     

Two More Omicron Cases Confirmed in Broome and Westchester Counties


 Governor Kathy Hochul today updated New Yorkers on the state's progress combating COVID-19.    

"It will take all of us coming together and doing our part as New Yorkers to ensure we are able to enjoy this holiday season safely," Governor Hochul said. "We know what we need to do to limit the spread and prevent serious illness from the COVID-19 virus - get the shot if you haven't already, get the booster if you have, and keep your loved ones safe and healthy by making sure they get vaccinated too."


Today's data is summarized briefly below:  

  • Test Results Reported - 149,184
  • Total Positive - 8,210
  • Percent Positive - 5.50%
  • 7-Day Average Percent Positive - 4.87%
  • Patient Hospitalization - 3,401 (+116)
  • Patients Newly Admitted - 412
  • Patients in ICU - 631 (+10)
  • Patients in ICU with Intubation - 352 (+17)
  • Total Discharges - 217,982 (+280)
  • New deaths reported by healthcare facilities through HERDS - 52 
  • Total deaths reported by healthcare facilities through HERDS - 46,860

    The Health Electronic Response Data System is a NYS DOH data source that collects confirmed daily death data as reported by hospitals, nursing homes and adult care facilities only.  
  • Total deaths reported to and compiled by the CDC - 59,645

    This daily COVID-19 provisional death certificate data reported by NYS DOH and NYC to the CDC includes those who died in any location, including hospitals, nursing homes, adult care facilities, at home, in hospice and other settings.  
  • Total vaccine doses administered - 30,620,440
  • Total vaccine doses administered over past 24 hours - 105,392
  • Total vaccine doses administered over past 7 days - 856,384
  • Percent of New Yorkers ages 18 and older with at least one vaccine dose - 86.4%   
  • Percent of New Yorkers ages 18 and older with completed vaccine series - 78.7%  
  • Percent of New Yorkers ages 18 and older with at least one vaccine dose (CDC) - 91.8% 
  • Percent of New Yorkers ages 18 and older with completed vaccine series (CDC) - 81.2%  
  • Percent of all New Yorkers with at least one vaccine dose - 74.8%  
  • Percent of all New Yorkers with completed vaccine series - 67.3%  
  • Percent of all New Yorkers with at least one vaccine dose (CDC) - 79.4%  
  • Percent of all New Yorkers with completed vaccine series (CDC) - 69.2% 

Tuesday, December 7, 2021

Defendant Sentenced To 18 Years In Prison For 2011 Murder Of Joshua Rubin

 

 Damian Williams, the United States Attorney for the Southern District of New York, announced today that MICHAEL MAZUR was sentenced by U.S. District Court Judge Jed S. Rakoff to 216 months in prison for his role in the October 31, 2011, murder of Joshua Rubin in Brooklyn, New York.

U.S. Attorney Damian Williams said: “Michael Mazur participated in the robbery that led to the murder of Joshua Rubin, and then he and his codefendants put Rubin’s body in the trunk of a car, drove it to Pennsylvania, dumped it in a garbage can, and set it afire to cover up the crime.  Thanks to our law enforcement partners and the Special Agents of my Office, Mazur will now serve a lengthy prison sentence for his callous crime.” 

According to the allegations in the Indictment and other documents filed in federal court, as well as statements made in public court proceedings:

On or about October 31, 2011, MICHAEL MAZUR, Kevin Taylor, and Gary Robles agreed to rob Joshua Rubin of a pound of marijuana.  Robles agreed to bring a firearm to the robbery.  Taylor lured Rubin to a Brooklyn apartment where, under the guise of purchasing the marijuana, the trio planned to rob Rubin of the drugs.  On the night of the robbery, Taylor and Robles waited inside the apartment while MAZUR was positioned outside to serve as a lookout.  After Rubin entered the apartment, Taylor and Robles demanded that Rubin surrender the marijuana.  When Rubin refused, Robles shot and killed Rubin.

After the murder, MAZUR, Taylor, and Robles placed Rubin’s body into the trunk of a car and drove to rural Pennsylvania.  There, MAZUR, Taylor, and Robles put Rubin’s body in a garbage can, doused it with an accelerant, and set the body on fire.  MAZUR, Taylor, and Robles then drove back to New York in the early morning hours of November 1, 2011.  Over 230 pounds of marijuana and approximately $200,000 were found in MAZUR’S residence at the time of his arrest.

MAZUR, 27, pled guilty to one count of Hobbs Act robbery, in violation of 18 U.S.C. § 1951, and in connection with his guilty plea admitted to his role in the murder.  In addition to his prison sentence, MAZUR, was sentenced to three years of supervised release.

Mr. Williams praised the outstanding work of the Federal Bureau of Investigation, the New York City Police Department, and the Special Agents of the United States Attorney’s Office for the Southern District of New York.  He also thanked the Lehigh County District Attorney’s Office, the Pennsylvania State Police, and the South Whitehall Township Police Department for their assistance in the investigation.

Attorney General James Secures $40 Million From Vyera Pharmaceuticals, Bans Corporate Executive From Pharmaceutical Industry for Seven Years

 

Vyera and Former CEO Kevin Mulleady Stifled Competition After Raising Price on Lifesaving Drug More Than 4,000 Percent

Defendants to Pay Up to $40 Million as Disgorgement of Ill-Gotten Gains

Trial Against ‘Pharma Bro’ Martin Shkreli, Mastermind of Monopolistic Scheme, to Start Later This Month

 New York Attorney General Letitia James today announced an agreement that will end the illegal and monopolistic behavior of Vyera Pharmaceuticals — previously known as Turing Pharmaceuticals — and one of its former CEOs, Kevin Mulleady. The agreement also forces the company to pay up to $40 million and bans Mulleady from almost any role at a pharmaceutical company for seven years. Attorney General James continues to pursue her lawsuit against remaining defendant Martin Shkreli, the former Vyera CEO who was the architect of the illegal scheme. The trial against Shkreli is slated to begin on December 14. In January 2020, Attorney General James and the Federal Trade Commission (FTC) filed a lawsuit against Vyera, Shkreli, and Mulleady for antitrust violations that stifled competition and permitted the defendants to protect and maintain their monopoly profits from their more than 4,000 percent overnight increase — to $750 per pill — of the drug Daraprim (pyrimethamine). Daraprim is used to treat the parasitic disease toxoplasmosis, and, until relatively recently, was the only approved source of this life-saving medication by the U.S. Food and Drug Administration (FDA). 

“Vyera and Mulleady, along with Martin Shkreli, shamelessly engaged in illegal conduct that allowed them to maintain their exorbitant and monopolistic price of a life-saving drug — letting pharma bros get rich, while others paid the price,” said Attorney General James. “We are forcing the company to pay up to $40 million to offset their ill-gotten gains and have now banned one of the CEOs from the pharmaceutical industry for seven years. Our trial against ‘pharma bro’ Martin Shkreli will commence later this month, where we will lay out Mr. Shkreli’s greedy, dangerous, and anticompetitive behavior. New Yorkers can trust that my office will do everything in its power to protect their health and their wallets, and will take every action possible to hold accountable companies — and individuals — for their illegal and anticompetitive behavior.”

Daraprim was, until recently, the only FDA-approved drug for the treatment of toxoplasmosis, a parasitic disease which may pose serious and often life-threating consequences for those with compromised immune systems, including babies born to women infected with the disease and individuals with the Human Immunodeficiency Virus (HIV). Until recently, Daraprim had been the only FDA-approved drug to treat acute toxoplasmosis, and it was the gold standard for decades — recommended by the Centers for Disease Control and Prevention, the National Institutes of Health, the HIV Medicine Association, and the Infectious Diseases Society of America as the initial therapy of choice for acute toxoplasmosis. Nevertheless — and despite being unpatented — there had never been a generic version of Daraprim sold in the United States, until recently. 

Before Mulleady and Shkreli’s involvement, Daraprim was cheap and accessible for decades. Then, in August 2015, Vyera purchased the drug, increased the price dramatically overnight, altered its distribution, and engaged in other conduct to delay and impede generic competition — all so that it could maintain the new sky-high price. The high price and distribution changes limited access to the drug, forcing many patients and physicians to make difficult and risky decisions for the treatment of a life-threatening disease.

The illegal scheme perpetrated by Vyera, Shkreli, and Mulleady involved restrictive distribution and supply agreements, as well as data secrecy, with the intent and effect of delaying entry by lower cost generic competitors.

In April 2020, the states of California, Illinois, North Carolina, Ohio, Pennsylvania, and Virginia joined Attorney General James’ and the FTC’s lawsuit.

In the months leading up to this month's trial, the court issued several important rulings in favor of the plaintiffs, including a ruling addressing the Office of the Attorney General’s (OAG) ability to obtain equitable monetary relief when individuals or companies repeatedly or persistently commit illegal acts in the state. That ruling confirmed the OAG’s authority to seek disgorgement of ill-gotten gains, regardless of where obtained, when the conduct has a nexus to New York. 

The terms of today’s agreement include a strict injunction against both the corporate defendant and Mulleady to avoid repetition of a similar scheme. In addition to the $40 million Vyera will pay for its wrongdoing, Mulleady will be subject to a seven-year ban from the pharmaceutical industry. Mulleady has also agreed to limit his shareholdings in any pharmaceutical company to nominal amounts, for 10 years.

Mulleady’s industry ban is a first for New York in an antitrust case and reflects Attorney General James’ policy that corporate executives who are personally and substantially involved with illegal schemes should be held accountable, not just the corporate entity.

The OAG wishes to thank the staff and leadership at the FTC for their partnership in this important matter, as well the assistance of the staff and leadership of its co-plaintiff states: California, Illinois, North Carolina, Ohio, Pennsylvania, and Virginia.