A dizzying two decades of the Theranos saga has come to a close. After founder Elizabeth Holmes
Elizabeth Anne Holmes (born February 3, 1984) is a convicted American fraudster and former biotechnology entrepreneur. In 2003, Holmes founded and was the chief executive officer (CEO) of Theranos, a now-defunct health technology company.
https://en.wikipedia.org › wiki › Elizabeth_Holmes
Theranos exec Sunny Balwani sentenced to 13 years in prison for defrauding patients and investors. The former COO of disgraced blood testing startup Theranos, Ramesh “Sunny” Balwani was sentenced to 155 months, or about 13 years, in prison, and three years of probation.
Ramesh “Sunny” Balwani, the one time second-in-command to disgraced Theranos founder Elizabeth Holmes, was sentenced to nearly 13 years in prison Wednesday as the saga of the blood-testing start-up draws to a close.
Theranos Founder Elizabeth Holmes Sentenced to Over 11 Years in Prison | WSJ
Did Theranos ever work?
The technology didn't exist. Theranos, despite all its flashy promises, wasn't actually able to run tests accurately in its device on a single drop of blood. Two years after the company closed its labs, its charismatic founder Elizabeth Holmes and former company president Sunny Balwani were indicted for fraud.
They sunk a cool $150 million into Theranos. Holmes, 37, was found guilty of four counts of wire fraud by a jury in San Jose, at the end of a five-month trial. The court heard how she dreamt of a blood testing biotech firm, and promised astonishing results - yet failed to deliver.
7 in San Jose, California, Federal District Judge Edward J. Davila sentenced Sunny to nearly 13 years in prison, according to The Washington Post. Sunny was convicted of 12 fraud-related charges back in July.
Most scenes depicted in "The Dropout" are based on facts and real people, but a dramatization with this much scandal can make anyone wonder whether every detail written into the script — down to the green juices and Steve Jobs-esque black turtlenecks — is true.
Along with detailing the control Balwani had over her, Holmes also said he sexually abused her. “He would force me to have sex with him when I didn't want to because he wanted me to know that he still loved me,” she testified. An attorney for Balwani denied all allegations against him, the Wall Street Journal reported.
Theranos founder Elizabeth Holmes has been sentenced to over 11 years in prison for defrauding investors in her blood testing start-up that was once valued at $9bn (£7.5bn). The former Silicon Valley star falsely claimed the technology could diagnose disease with just a few drops of blood.
Holmes appeared visibly pregnant with her second child just before her November sentencing. On November 18, 2022, a judge told Holmes she was sentenced to 11 years and three months in prison, and she may spend her time at a minimum-security prison camp in Texas.
Two whistleblowers, Tyler Schultz and Erika Cheung, brought Theranos's fraud to light. Erika Cheung was working as a Theranos lab assistant. Cheung knew something was off when the quality controls repeatedly failed. The other whistleblower, Tyler Schultz, was a research engineer on the Theranos assay validation team.
Silicon Valley startup Theranos snagged FDA approval for its finger-stick test for herpes, a feather in the company's cap as it looks to expand the reach for its product and challenge its rivals' business models.
On Monday, the founder and former CEO of Theranos was found guilty of four charges in her criminal fraud trial. Nearly a decade ago, Holmes raised $945 million from high-profile investors including the family of former Education Secretary Betsy DeVos, Rupert Murdoch and the Walton family of Walmart fame.
Holmes received money for the startup from no less famous names: Walmart's founding Walton family invested $150 million, media mogul Rupert Murdoch put in more than $120 million while former Secretary of Education Betsy DeVos contributed $100 million. They all lost their investments when Theranos collapsed.
One of the big problems that never was solved for Theranos was the equipment needed a specific volume, and since Holmes was set on using a blood prick they would have to dilute the blood, which would skew the data on analysis(6).
Theranos' offerings fell in the lab-developed tests (LDT) category that the FDA has little control over. This means that if a test is designed and used in a single lab, that lab can market the tests without the US authority's approval.
Having dropped out of Stanford's School of Engineering in 2003, a 19-year-old Holmes used her tuition money as seed funding for a consumer healthcare technology company based on the idea of performing blood tests using only a small amount of blood – such as a finger prick – rather than drawing blood for testing into ...