Pharma Execs Spent Investor Money on Jewelry Not Drug, Suit Says

Pharmaceutical company co-founders spent an investor’s $7 million on expensive jewelry and personal expenses rather than its Covid-19 therapy, a lawsuit says.

Leah Schaatt says Reven Holdings, Inc. executives also funneled money into a shell company rather than developing Rejuveinix—a drug targeting Covid-19 and a wide range of other chronic-inflammation ailments—according to the complaint filed in the US District Court for the District of Colorado on Monday.

Schaatt met CEO Peter Lange in 2019 and invested $2 million after reviewing a slide deck and private placement memorandum; she signed a subscription agreement, the complaint says.

Lange later emailed a ...