{"id":1186509,"date":"2022-01-04T09:35:27","date_gmt":"2022-01-04T14:35:27","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1186509"},"modified":"2022-01-04T09:35:37","modified_gmt":"2022-01-04T14:35:37","slug":"jury-finds-theranos-founder-holmes-guilty-of-fraud","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jury-finds-theranos-founder-holmes-guilty-of-fraud\/","title":{"rendered":"Jury Finds Theranos Founder Holmes Guilty of Fraud"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fjury-finds-theranos-founder-holmes-guilty-of-fraud%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1186509&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/01\/GettyImages-1237525155_736x514.jpg\" class=\"ff-og-image-inserted\" alt=\"image\" \/><\/div>\n<p>By Jane Lanhee Lee and Jody Godoy<\/p>\n<p>SAN JOSE, Calif. (Reuters)\u2014A U.S. jury on Monday found<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos&nbsp;<\/span>founder Elizabeth Holmes guilty of defrauding investors in the blood testing startup, convicting her on four of 11 counts.<\/p>\n<p>Holmes was convicted of investor fraud and conspiracy, but acquitted on three counts of defrauding patients who paid for tests from<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>, and a related conspiracy charge. The jury could not reach a decision on three counts related to other, individual investors.<\/p>\n<p>Holmes, wearing a gray suit, appeared poised after the verdict was read. A sentencing date was not immediately set.<\/p>\n<p>Prosecutors said Holmes, 37, swindled private investors between 2010 and 2015 by convincing them that<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>\u2018 small machines could run a range of tests on just a single drop of blood from a finger prick.<\/p>\n<p>Holmes rose to Silicon Valley fame after founding<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos&nbsp;<\/span>in 2003 at age 19 and became known for her penchant for wearing Steve Jobs-like black turtlenecks. She attracted both high-profile wealthy investors including media mogul Rupert Murdoch and high-profile board members. Her net worth was estimated at $4.5 billion by Forbes in 2015.<\/p>\n<p>She faces up to 80 years in prison when sentenced by U.S. District Judge Edward Davila but will likely get a much lower sentence.<\/p>\n<p>Holmes was also charged with misleading patients about the tests&#8217; accuracy but was acquitted of those charges.<\/p>\n<p>Holmes is likely to appeal, but her attorneys and a spokesperson for prosecutors did not respond to requests for comment on Monday. The jury&#8217;s verdict came after seven days of deliberations.<\/p>\n<p>The case shed light on<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>\u2018 failed endeavor to revolutionize lab testing. The company secretly relied on conventional machines manufactured by Siemens to run patients&#8217; tests, prosecutors said.<\/p>\n<p><span class=\"highlight\" data-qa-component=\"highlight-text\">Theranos&nbsp;<\/span>collapsed after the Wall Street Journal published a series of articles that suggested its devices were flawed and inaccurate. Holmes was indicted in 2018 alongside<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>\u2018 former chief operating officer Ramesh &#8220;Sunny&#8221; Balwani, who had also been her romantic partner.<\/p>\n<p>Balwani also has pleaded not guilty and will be tried at a later date.<\/p>\n<p>During the trial in San Jose, California, which began in September, jurors heard testimony from former<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos&nbsp;<\/span>employees who said they left the company after witnessing problems with its technology.<\/p>\n<p>Former patients testified that they would not have used<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>\u2018 tests if they had known the tests were flawed.<\/p>\n<p>Holmes was acquitted on charges of defrauding patients. Her attorneys had argued there was no statistical evidence showing errors were happening at such a high rate that Holmes knew the tests were inaccurate.<\/p>\n<p>Investors testified that Holmes made a range of misleading claims about<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>, including that its machines were being used in the field by the U.S. military.<\/p>\n<p>Prosecutors said had Holmes been truthful with investors and patients, the venture never would have attracted critical funding and revenue.<\/p>\n<p>&#8220;She chose fraud over business failure. She chose to be dishonest,&#8221; Assistant U.S. Attorney Jeff Schenk said at the start of closing arguments. &#8220;That choice was not only callous, it was criminal.&#8221;<\/p>\n<p>Testifying in her own defense at trial, Holmes said she never meant to deceive anyone and said<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>\u2018 lab directors were in charge of test quality.<\/p>\n<p>In closing arguments, defense attorney Kevin Downey said the evidence did not show Holmes was motivated by a cash crunch at<span class=\"highlight\" data-qa-component=\"highlight-text\">&nbsp;Theranos<\/span>, but rather thought she was &#8220;building a technology that would change the world.&#8221;<\/p>\n<p>&#8220;You know that at the first sign of trouble, crooks cash out,&#8221; but Holmes stayed, Downey said. &#8220;She went down with that ship when it went down.&#8221;<\/p>\n<p>(Reporting by Jane Lanhee Lee in San Jose, California, and Jody Godoy in New YorkAdditional reporting by Jonathan Stempel in New York and Ann Saphir in Oakland, California; Editing by Noeleen Walder, Peter Henderson, Matthew Lewis and Leslie Adler)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Jane Lanhee Lee and Jody Godoy SAN JOSE, Calif. (Reuters)\u2014A U.S. jury on Monday found\u00a0Theranos\u00a0founder Elizabeth Holmes guilty of defrauding investors in the blood testing startup, convicting her on &#8230;<\/p>\n","protected":false},"author":66,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1186509","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1186509","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1186509"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1186509\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1186509"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1186509"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1186509"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}