Elizabeth Holmes’ trial on fraud charges is continuing this week after the jury failed to reach a verdict Monday. The former Theranos CEO faces 11 criminal charges for deceiving investors and patients about her company’s blood-testing technology being a breakthrough despite life-threatening innacurate test results.
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Elizabeth Holmes' Trial
As reported by MSNBC, the trial will continue this week and will weigh on whether Elizabeth Holmes had knowingly conned investors and patients by claiming her failure-ridden blood-testing technology was to revolutionize healthcare.
NBC’s Gadi Schwartz asserts that “It comes down to intent. Did Elizabeth Holmes con investors and companies patients knowing that the testing wasn't working as promoted and that promise was a sham?”
The trial darts into its second week after the 12 members of the jury —eight men and four women— had weighed on the evidence presented for more than 20 hours at the federal courthouse in San Jose, California, in a case that has hogged attention around the world.
In a series of secretly recorded tapes, “Holmes seemed to be confidently projecting these big returns and making these claims about her company’s ability to test blood with a single prick instead of a whole tube,” Schwartz says.
Elizabeth Holmes' trial is grounded on 11 counts including conspiracy to defraud Theranos investors and patients, and wire fraud against Theranos investors and company patients.
She claimed to have ties with the military at the time, which prosecutors insist was not true, and deemed those claims as “criminal.” On the defense side, the case is that Holmes did not intend to defraud anyone because she truly believed that her company’s blood testing was indeed an innovation.
Eight years ago, Elizabeth Holmes was touted as the next Steve Jobs after founding Theranos, a startup that wanted to change blood testing procedures that would improve cancer and diabetes diagnosis.
However, The Wall Street Journal discovered several inconsistencies in the technical tests, which brought upon Holmes and her then-associate Ramesh Balwani accusations of fraud. After being put under the spotlight, she claimed the company knew what it was doing and said she felt proud of it.
“After the flaws were exposed in 2015 and 2016, Theranos eventually collapsed and the Justice Department filed a criminal case in 2018... If convicted, Holmes could face up to 20 years in federal prison.”