Posted on 11/14/2022 9:28:02 AM PST by Red Badger
The Department of Justice wants Theranos founder Elizabeth Holmes, 38, who made billions of dollars before she was ultimately convicted of wire fraud and conspiracy, to spend 15 years in prison rather than walk free.
Additionally, the DOJ wants Holmes to pay $800 million in restitution to investors who were defrauded.
“Considering the extensiveness of Holmes’ fraud… the sentencing of 180 months’ imprisonment would reflect the seriousness of the offenses, provide for just punishment for the offenses, and deter Holmes and others,” federal prosecutors stated.
Theranos Inc. claimed initially that it could use a few drops of blood to obtain results as far-ranging as cancer and cholesterol. “Investors have poured more than $400 million into Theranos, valuing it at $9 billion and her majority stake at more than half that, The Wall Street Journal reported in 2015.
By 2014, Holmes, worth $4.5 billion, was touted as the youngest self-made female billionaire. But In 2015, the Journal commenced writing about the company, finding that its claims were inaccurate. In January 2016, the Centers for Medicare and Medicaid Services charged Theranos with deficient practices that could jeopardize patients’ health.
Theranos soon closed its medical lab operations. In April 2017, over 175,000 people were awarded a full refund in a settlement that forced Theranos to pay $4.65 million into an Arizona state reimbursement fund.
“I wanted to make sure that every Arizonan who had paid for a test, whether or not it was accurate, would get a refund,” Attorney General Mark Brnovich stated.
In June 2018, federal prosecutors charged Holmes and her number two, Ramesh Balwani, with two counts of conspiracy to commit wire fraud and nine counts of wire fraud. The trial was delayed twice, once for the COVID pandemic and another when Holmes told the court she was pregnant.
At her trial in November 2021, Holmes said she had not targeted former employees Tyler Shultz and Erika Cheung, who had given information to the Journal. But prosecutors displayed a letter sent to Cheung from a law firm threatening litigation if she confessed trade secrets, and indicated that someone confronted Shultz and urged him to sign legal papers.
GOOD.
She should be made an example of. Then maybe other sociopaths will think that they might get caught too.
15 years seems too lenient. She ruined many peoples lives and destroyed their savings..............
Finally a DOJ action I can cheer. She is dispicible. BTW the Netflix series “The Dropout “ is fantastic. She’s a lunatic. A soulless freak.
The is a very light sentence
She destroyed lives with her lying and faulty medical testing equipment, that she knew weren’t functional
She should serve a life sentence
“She ruined many peoples lives and destroyed their savings..............”
Kinda like Biden.
The trouble with people is that they are people.
Yeah, the problem with our law is that stealing $5K and stealing $5 billion are the same crime.
Don’t forget about the people she killed
She was in an industry she had zero business being in
Think of all the people who used her tests only to find out they were all wrong and faulty?
“ She destroyed lives with her lying and faulty medical testing equipment, that she knew weren’t functional”
My impression is they used functional tests with standard methods and pretended to use their supposed new technology.
Send her to Danbury. She will end up being some large African American’s BEOTCH.
Why don’t they just get Alex Jones to pay for this as well?...
CMS has an entire body of regulations for lab. CLIA 88 has been a target of dem revision over the years. Lab has more regulations than your neurosurgeon. This mean after decades, we have only a few powerbrokers. The other downstream effect has been to create an additional set of rules that are more loosely enforced outside of classically educated lab staff.
Labs spend as much time on regulatory processes than on getting results to you. The costs to adhere to these daily practices has robbed the daily lab at your local hospitals so they offload high complexity testing.
As usual, the government has picked winners and losers.
She embarrassed DC grandees like George Schultz, Henry Kissinger, Jim Mattis, and William Perry
Like Geoffrey Epstein - you pay for that, not for any actual crimes committed.
There is a lot of egg on a lot of people with a vested interest in protecting their reputations. I'll bet a deal was cut to make this go away. She gets 15, does 5 and keeps her mouth shut.
Alex be broke....................
She never made any money. It was never anything more than vapor.
the democrats might run her for president next election and win- even if she is behind bars-
That’s why it can be put on him, he can just declare Chapter 7...
But the latter has the excellent legal representation.
Though not theft, who went to jail over the 2008 economic meltdown?
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