
Theranos founder Elizabeth Holmes will begin serving a prison sentence on May 30 for defrauding investors in the failed blood-testing startup, which was once valued at $9 billion, Reuters reports.
U.S. District Judge Edward Davila set a Wednesday date for Holmes, 39, to begin serving 11 years and three months in prison.
Holmes gained notoriety after claiming that Theranos’ tiny machines could perform a series of diagnostic tests using just a few drops of blood. She was convicted of fraud last year in San Jose, California.
- Theranos – How the biggest scam in the history of Silicon Valley became possible
Holmes asked the 9th U.S. Circuit Court of Appeals to delay his sentence, but the court denied that request on Tuesday.
Davila, who watched Holmes’ trial and sentencing, previously rejected her argument that an appeal would likely result in a new trial, in which case she could remain free on bail.
During the trial, prosecutors said Holmes misrepresented Theranos’ technology and finances. Holmes testified in her own defense, saying she believed her statements to be accurate at the time.
On appeal, Holmes challenges several of the judge’s rulings, including that he admitted evidence of the accuracy of Theranos tests that predates his statements to investors.
Former Theranos president Ramesh “Sunny” Balwani was also convicted and sentenced to 12 years and 11 months in prison for defrauding Theranos investors and patients.
Balwani began serving his sentence on April 20 after Judge Davila denied his request to remain free on bail pending an appeal.
Forbes named Holmes the youngest homegrown female billionaire in 2014 when she was 30 and her stake in Theranos was worth $4.5 billion. Theranos collapsed after a series of Wall Street Journal articles in 2015 questioned its technology.
Link:
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Source: Hot News

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