/S /LI /P 8 0 R 105 0 R 106 0 R 107 0 R 108 0 R 109 0 R 35 0 R 36 0 R 37 0 R 38 0 R null There were . endobj /P 50 0 R /P 302 0 R /Pg 235 0 R /P 63 0 R >> >> << >> 2018-03-14T08:41:27-07:00 /K 22 /Tabs /S << /Lang (EN-US) /Annots [] 66 0 R 67 0 R 68 0 R 69 0 R] /K 2 /Pg 241 0 R /S /LI /K 18 /K 6 endobj /P 380 0 R endobj /S /LBody /Rotate 0 /S /LBody /Pg 248 0 R endobj 307 0 obj /P 268 0 R /S /LI << This office, along with our other law enforcement partners in the Bay Area, will vigorously investigate and prosecute those who do not play by the rules that make Silicon Valley work. /K 0 /Pg 256 0 R >> /K 22 /Lang (EN-US) /Resources 472 0 R /P 8 0 R >> /K 147 0 R endobj endobj 395 0 obj /P 360 0 R /K 8 /P 23 0 R >> 72 0 obj /P 59 0 R >> Similarly, defendants purchased and used commercially-available analyzers to test patient blood, while representing to investors that Theranos conducted its patients tests using Theranos-manufactured analyzers. /P 63 0 R /Pg 255 0 R << /Lang (EN-US) /P 281 0 R emblazoned in block capitals in the Theranos lobby, was 'Do or do not. 187 0 obj /P 335 0 R 359 0 obj /P 361 0 R /Resources 424 0 R /Count 24 /S /LI /Pg 250 0 R << /Pg 235 0 R /S /LBody /S /LI 341 0 R 342 0 R 343 0 R 344 0 R 345 0 R 346 0 R 347 0 R 348 0 R] 291 0 obj /S /LBody /S /LBody /S /P /Pg 256 0 R 14 [null null 186 0 R null null null 187 0 R null null null Theranos CEO Elizabeth Holmes on her company and the landscape of U.S. diagnostic-lab industry. /P 48 0 R /Lang (EN-US) /StructParents 7 << /Type /Page /Lang (EN-US) /K 126 0 R 121 0 obj >> /P 332 0 R /Lang (EN-US) >> endobj 4 [null null 131 0 R null null null 132 0 R null null null >> << /S /LBody >> << /P 59 0 R 226 0 obj /Pg 235 0 R << /P 311 0 R endobj /S /LI >> /Endnote /Note << << /CropBox [0 0 612 792] endobj /P 8 0 R << At the peak of her career in 2015, Forbes estimated her net worth at $4.5 billion. /P 55 0 R 24 0 obj /Pg 249 0 R 79 0 obj Theranos' mission: a blood test requiring only a pinprick of blood, enough to run dozens of medical tests on the startup's hi-tech machines. 375 0 obj /K 22 /A 259 0 R /K 153 0 R /Type /MCR >> /Pg 235 0 R 324 0 obj /Pg 244 0 R The data on this page is also based on data sources collected from public and open data sources on the Internet and other locations, as well as proprietary data we licensed from other companies. >> /K 4 << Those biases can be understood as the blindness brought about by what seems preeminently important, the righteousness generated by what sounds inherently right, the operational myopia triggered by what is situated far away from us and the sense of potency derived from endeavoring to create something new. >> /K 18 /Lang (EN-US) << endobj << /S /LI /P 8 0 R Investors have poured more than $400 million into Theranos, valuing it at $9 billion and her majority stake at more than half that. endobj Total losses surpassed $800 million, prosecutors said. /Pg 253 0 R << The Theranos founder intentionally deceived investors, a US . >> 137 0 obj /K 10 /S /LI /Pg 258 0 R /Pg 239 0 R /Pg 240 0 R endobj endobj endobj endobj /Lang (EN-US) /Parent 13 0 R /K 12 /Parent 14 0 R Palo Alto, United States August 18, 2016: Elizabeth Holmes accepts The Entrepreneur award at, the 25th Annual Glamour Women of the Year Awards on Nov. 9, 2015, in New York. The United States Postal Inspection Service has a long history of successfully investigating complex fraud cases, said Inspector in Charge Rafael E. Nuez. /K 192 0 R And while some have observed that her behavior showed various sociopathic tendencies, the relaxed aura that cheating in the service of a larger cause may afford the average person may amp up ethical risk far more than the risk posed by sociopathic individuals. Theranos eventually settled that matter with the government, voluntarily closing all of its labs. >> Theranos is a private health care and life sciences company with the stated mission to revolutionize medical laboratory testing through allegedly innovative methods for drawing blood, testing blood, and interpreting the resulting patient data. /K 173 0 R 191 0 obj << /P 369 0 R /S /LBody << /Contents [493 0 R 494 0 R 495 0 R] /Bibliography /BibEntry /P 344 0 R ] << /Lang (EN-US) /P 380 0 R 87 0 obj /S /LBody For example, with respect to investors, defendants performed technology demonstrations during which defendants intended to cause potential investors to believe blood tests were being conducted on Theranoss proprietary analyzer when, in fact, the analyzer really was running a null protocol and was not testing the potential investors blood. /S /LBody /K 4 /P 381 0 R /P 8 0 R << /P 380 0 R << /Lang (EN-US) Postal Inspection Service (USPIS) Inspector in Charge Rafael Nuez. << Help us make this company more transparent. endobj /Lang (EN-US) When Yam was working with an analytics firm to price stock options, she asked Holmes for some key financial forecasts, including projected revenue, because the CEO had the best information. During that process, Yam had emailed Holmes asking her how much revenue she was anticipating. << /P 55 0 R >> /P 42 0 R /K 22 endobj 28 0 obj The Journal reported that in 2015, the technology was only used for 15 tests. There are at least four biases that can let a belief about a desired future state shape reality despite its disconnectedness from reality. /K 131 0 R /P 48 0 R >> /P 44 0 R 20 [null null 221 0 R null null null 222 0 R null null 56 0 R 8 0 obj endobj Theranos gambit may have extended over time precisely because all four biases played a role in the making of a dream that was never fully tested against the constraints of reality. null 47 0 R null null 129 0 R null null null 130 0 R null /P 55 0 R /Resources 456 0 R endobj /P 42 0 R 216 0 obj >> 365 0 obj << 22 0 obj /Count 5 >> /P 55 0 R /K 127 0 R Balwani, 53, of Atherton, Calif., was employed at Theranos from September of 2009 through 2016. << /Pg 238 0 R /P 40 0 R >> /Lang (EN-US) endobj /P 8 0 R 89 0 obj /Pg 245 0 R endobj /MediaBox [0 0 612 792] /Pg 256 0 R /P 326 0 R /Lang (EN-US) 217 0 obj /P 284 0 R >> >> /Annots [] U.S. Attorneys Office 211 0 R null null null 212 0 R null null null 213 0 R null /Tabs /S The Theranos HSV-1 IgG Assay is for use with the Theranos System which performs automated sample processing steps and result analysis. /Lang (EN-US) endobj << 286 0 obj /Lang << endobj /Pg 235 0 R >> /S /LBody >> 205 0 obj /K 14 /P 48 0 R /CropBox [0 0 612 792] << Elizabeth Holmes donated /Parent 13 0 R CNMN Collection /S /LI An indictment merely alleges that crimes have been committed, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt. >> >> /K 182 0 R >> Theranos | 27,358 followers on LinkedIn. /K 21 Todays indictment alleges that through their company, Theranos, CEO Elizabeth Holmes and COO Sunny Balwani not only defrauded investors, but also consumers who trusted and relied upon their allegedly-revolutionary blood-testing technology., This indictment alleges a corporate conspiracy to defraud financial investors, said Special Agent in Charge Bennett. /Type /MCR /MCID 2 /Resources 412 0 R 9 0 obj 57 0 obj /MediaBox [0 0 612 792] << /K 14 endobj "I was taken with the idea . /P 315 0 R /K 3 << /P 48 0 R /P 296 0 R /Resources 452 0 R /K 24 /Lang (EN-US) 394 0 obj /Type /Page Holmes, who founded Theranos in 2003 at age 19 with the lofty mission of revolutionizing blood testing, has pleaded not guilty. 85 0 R 86 0 R 87 0 R 88 0 R 89 0 R 90 0 R 91 0 R 92 0 R 93 0 R] They are also attracted by the fact that behind the innovation and entrepreneurship are rules of law that require honesty, fair play, and transparency. /K 25 /K 22 null null 121 0 R null null null 122 0 R null null null /Pg 258 0 R /K 166 0 R << /K 1 /K 163 0 R /P 8 0 R /K 214 0 R /Type /Page << endobj >> The defendants nevertheless used interstate electronic wires to purchase advertisements intended to induce individuals to purchase Theranos blood tests at Walgreens stores in California and Arizona. 204 0 obj << /P 291 0 R We calculated the performance score of companies by measuring multiple factors, including revenue, longevity, and stock market performance. /Rotate 0 The largest donation made to a political party by a Theranos employee was /Pg 254 0 R /Rotate 0 null null 225 0 R null null null 226 0 R null null null >> /S /P /P 307 0 R >> /Pg 242 0 R 47 0 obj /K 187 0 R Indication(s) for use: Same as the intended use 3. endobj /S /LBody /P 8 0 R /S /LBody 62 0 obj << endobj >> << /K 157 0 R /Resources 408 0 R endobj >> /P 312 0 R << >> endobj /P 8 0 R endobj /K 124 0 R /Pg 243 0 R 373 0 obj And at least one employee told the financial newspaper Theranos executivesdid not report test results that would have caused concerns about the machines accuracy. /Lang (EN-US) /Pg 248 0 R /Lang (EN-US) 376 0 obj /P 276 0 R >> >> Holmes faces up to 20 years in prison. /S /P /Lang (EN-US) endobj /K 0 /Lang (EN-US) /Pg 244 0 R >> /K 275 0 R endobj endobj /Strikeout /Span << /P 48 0 R /Type /Page /K 6 /Parent 14 0 R While working at Theranos, Cheung sent an email to others in the company, sharing her concerns about the Edison machines. /S /LI The business had garnered hundreds of millions of dollars in investments and was valued at $9 billion in 2015, when a Journal expose showed the company had some not-so-favorable secrets. endobj >> /S /LBody endobj /Annotation /Span /Lang (EN-US) /Pg 246 0 R /SourceModified (D:20180314151216) /K 24 /K 35 /S /LI endobj /Lang (EN-US) /Pg 254 0 R endobj /Lang (EN-US) /Parent 14 0 R /CropBox [0 0 612 792] /P 50 0 R /S /LI >> >> /Parent 11 0 R >> /Lang (EN-US) >> Competitors of Theranos include Bloomberg, Morgan Stanley, and National Journal. >> 378 0 obj endobj << endobj /Lang (EN-US) >> >> /S /LBody Around the time that Theranos was losing nearly $2 million per week, investors in the blood-testing startup were being told that the company would soon be bringing in almost $1 billion per year. endobj /K 1 >> /K 6 /Lang (EN-US) /P 8 0 R /StructParents 2 << << 200 0 obj Your California Privacy Rights | Do Not Sell My Personal Information /Lang (EN-US) endobj 361 0 obj /K 115 0 R /P 299 0 R /K [331 0 R 332 0 R 333 0 R 334 0 R 335 0 R 336 0 R 337 0 R 338 0 R 339 0 R 340 0 R /P 50 0 R Elizabeth Holmes, the infamous biotech chief executive who promised to revolutionize blood testing, has been found guilty of fraud. /Pg 235 0 R >> /Rotate 0 248 0 obj 93 0 R] >> /CropBox [0 0 612 792] >> /Lang (EN-US) /K 15 << 241 0 obj endobj /P 8 0 R /S /LI 193 0 obj /Lang (EN-US) The mission statement of Theranos is stated as, "To make actionable information accessible to everyone at the time that it matters". endobj << /K 18 >> /K 199 0 R /P 51 0 R /Type /Pages /S /P 274 0 obj /P 351 0 R /S /LI /Lang (EN-US) endobj endobj /Lang (EN-US) << /P 306 0 R Yam said she had never seen the document before, nor did she know where those numbers had come from. /P 318 0 R endobj /Pg 235 0 R /K 152 0 R << >> /K 25 /K 171 0 R 2018-03-14T09:02:10-07:00 . 208 0 obj /Pg 238 0 R 235 0 obj << 127 0 obj endobj The indictment charges each defendant with two counts of conspiracy to commit wire fraud, in violation of 18 U.S.C. << 107 0 obj /K 160 0 R endobj /Lang (EN-US) >> /Pg 257 0 R /P 51 0 R /Tabs /S >> << /P 51 0 R << /Lang (EN-US) endobj /MCID 2 Forbes has since . /Lang (EN-US) >> /Lang (EN-US) /P 55 0 R endobj >> >> 2023 FOX News Network, LLC. John Carreyrou writes the story of a gifted 19-year-old who founded a health . >> /K 135 0 R /P 8 0 R The next witness was Erika Cheung, who was hired by Theranos out of undergrad as a lab associate. /Pg 238 0 R >> << She pitched its technology as a cheaper way to run dozens of blood tests with just a prick of a finger and a few droplets of blood. << endobj endobj /Pg 235 0 R /P 304 0 R endobj /P 51 0 R /InlineShape /Figure endobj endobj << >> 144 0 obj /P 8 0 R << /P 50 0 R << /P 48 0 R 136 0 obj << FAQ - New Privacy Policy. >> GET FOX BUSINESS ON THE GO BY CLICKING HERE. << /Pg 242 0 R 151 0 obj /Pg 245 0 R The defendants claimed the analyzer was able to perform a full range of clinical tests using small blood samples drawn from a finger stick. 320 0 obj /P 373 0 R /K 132 0 R /MediaBox [0 0 612 792] 355 0 obj /Lang (EN-US) /K 110 0 R Founded in 2003 by then 19-year-old Elizabeth Holmes, Theranos raised more than US$700 million from venture capitalists and private investors, resulting in a $10 billion valuation at its peak in 2013 and 2014. << THERANOS FOUNDER ELIZABETH HOLMES IN COURT; ANATOMY OF A FRAUD. << /K 1 /Pg 254 0 R /Lang (EN-US) 165 0 R null null null 166 0 R null null null null 167 0 R 185 0 obj 169 0 obj >> endobj << /Contents [413 0 R 414 0 R 415 0 R] In opening statements, a federal prosecutor depicted Balwani as an instrumental accomplice who helped Holmes pull off a huge scam tied to Theranos' blood-testing technology. /S /LI 133 0 R null null null 134 0 R null null null 135 0 R null /P 50 0 R /P 8 0 R /S /LI << /Rotate 0 /Lang (EN-US) /Lang (EN-US) /S /P << We just didn't know what new form it would take. 38 0 obj The vision was to revolutionize blood testing and place these miniature labs in homes across the world. /P 51 0 R /S /LBody /S /Table << /S /LI >> >> << /Lang (EN-US) /S /LBody Theranos was a private health care company, with a mission to revolutionize lab testing through innovative methods for drawing blood, testing blood, and interpreting resulting patient data. 233 0 obj >> /P 346 0 R /CropBox [0 0 612 792] >> /Resources 496 0 R Bundled together, these biases not only warped Holmes sense of truth, but they likely slanted the perspective of key stakeholders who were attracted to the many promises made by Theranos. /K 142 0 R /P 8 0 R 298 0 obj 356 0 obj >> /S /P >> Zippia Score 4.7. /S /LI Theranos' mission is to make actionable health information accessible to people everywhere in the world at the time it matters, enabling early detection and intervention of disease. Claiming and updating your company profile on Zippia is free and easy. Many of those statements were outright falsehoods or, more charitably, danced around the truth. << >> According to the indictment returned yesterday and unsealed today, the charges stem from allegations Holmes and Balwani engaged in a multi-million dollar scheme to defraud investors, and a separate scheme to defraud doctors and patients. /S /P Once a strong believer in Theranos' mission, Mattis testified that he eventually realized the Holmes had misled him with empty promises.