Biotech King Gets 4 Years For Stock Manipulation

Law360, New York (May 2, 2013, 7:39 PM EDT) -- David A. Blech, a once-prominent biotech financier, was sentenced Thursday in New York federal court to four years in prison for manipulating the stock prices of two companies he had invested in.

U.S. District Judge Colleen McMahon, who presided over the sentencing, also ordered Blech, 57, to forfeit $1.3 million in gains he earned manipulating the price of Pluristem Therapeutics Inc. and Intellect Neurosciences Inc. shares from 2005 to 2008.

The sentence caps the second act of a Faustian downfall for Belch, who was once widely...
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