Aftermath of a Drug-Testing Firm
What happened to SFBC International, a once fast-growing drug-testing firm in Miami?
'New things to do'
Meanwhile, according to both Krinsky's attorney Entin and PharmaNet's SEC filings, Sen. Grassley has concluded his inquiry. Krinsky and Seifer met separately with Grassley in the course of his investigation on Jan. 11, 2006. On March 1, Krinsky hired former U.S. Rep. Bill Livingston, now a lobbyist, and his partner and former chief of staff, J. Allen Martin, to represent her with regard to the "investigation and oversight pertaining to clinical trials," according to federal lobbying records. She paid them $120,000 through June of last year.
Entin believes the SEC also has concluded its investigation. "We contacted the attorney who was responsible for that at the local office of the SEC, to indicate our willingness on behalf of Ms. Krinsky and Mr. Seifer to appear and answer questions, but we were told that was not necessary," Entin says.
In January of this year, PharmaNet and the other defendants in the securities suit, including Krinsky and Seifer, filed a motion to dismiss the case.
Krinsky did not respond to requests for an interview. Entin, her lawyer, says Krinsky "built this company from nothing, and you now have people running her business that are effectively the people she brought on after she bought out their less successful companies. It was her vision and her ability, and now they're running it." Entin also represents Seifer, who he says was wrongly denied a severance valued at approximately $450,000 when he left the company.
A year after leaving SFBC, Krinsky is "happy doing nothing for the time being and looking for new things to do," says Entin.