Crime /

Disgraced Tech Founder Elizabeth Holmes Found Guilty of Fraud, Faces 80 Years in Prison

A jury has convicted the founder of Theranos on four of eleven charges related to theft and defrauding investors

Theranos founder Elizabeth Holmes faces up to 80 years in jail after being convicted of defrauding investors to fund a blood-testing startup.

On Monday, a jury in San Jose, California, convicted Holmes on two counts of wire fraud and two counts of conspiracy to commit fraud.

She was acquitted on four other counts of fraud and conspiracy that alleged she defrauded patients who paid for Theranos tests. The jury was deadlocked on three counts related to other investors.

According to a report from The Associated Press, Holmes stayed seated and emotionless as the verdicts were read. She did not respond to reporters and local media questions as she walked from the courthouse to the hotel where she had been staying during jury deliberations.

Holmes will remain out on bond while awaiting sentencing. 

Holmes modeled herself on Bill Gates and Steve Jobs and won widespread acclaim for a faulty technology that she claimed would revolutionize blood-testing methods by using only a finger prick. 

The acclaim landed her the cover of Time at one point, giving the illusion of success for the fraudulent founder. 

Theranos raised just under a billion dollars from various venture capitalists, including Tim Draper, Donald Lucas, Dixon Doll, and the heirs to major family estates and renowned world leaders.  

Holmes will be the most notable female executive to serve time since Martha Stewart if she is sent to jail.  

During the trial, which spanned nearly three months, jurors heard testimony from former employees who said they left the company after discovering that the technology was faulty.

Investors testified that Holmes consistently shared misleading statements, including claims that its machines were being used in the field by the U.S. military. 

Rupert Murdoch lost $125m while the DeVos family, including Trump-era Education Secretary Betsy DeVos, invested and lost $100m.  

Former Secretary of State Henry Kissinger invested $3 million, ex-Defense Secretary Jim Mattis invested $85 million, and New England Patriots owner Robert Kraft invested $1 million. The Walton family of Walmart invested and lost $150 million to Theranos. 

At Theranos’ height, Holmes had amassed an estimated net worth of $4.5 billion on paper, being lauded globally as a self-made billionaire. 

After the Wall Street Journal exposed the company’s flaws in 2015 and 2016, Theranos eventually collapsed. The Justice Department filed its criminal case in 2018, after careful review of the circumstances and false claims by the young founder.

A sentencing hearing has not been set at time of publishing.

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2 responses to “Disgraced Tech Founder Elizabeth Holmes Found Guilty of Fraud, Faces 80 Years in Prison”

  1. DontGetGaryWebbed says:

    So, 80 years for fraud but Maxwell gets up to 65? Our judicial system values money over children being trafficked.

  2. Robby says:

    Sooo…. General Mattis lost $85M? How does a military man make over a hundred million dollars? DeVos a hundred Million? Politicians aren’t just ‘millionaires’, they have 10’s and HUNDREDS of millions of dollars. The current broken plutocracy system is not a Constitutional Republic, nor a democratic process.

    The current regime is obsolete. Not needed.

    We now have communications technology. The reasons for Representatives and Senators was distances. Those are now closed. No longer does a Representative have to travel for 3 Months from CA to DC to represent and give the word of the Californians (for example).

    WE THE PEOPLES should vote on the bill directly. We the people should tell the employee (Representative) what we want, and their service should be to do as we say. The Legislature only need to represent and handle the business of the votes that WE THE PEOPLE have done, and produce a draft, at which we will agree (or not) to. It should not be done for us by some plutocratic slave to corporate owners.

    The pay for these in service to us, must be the National average income. All other assets or profits will be forfeited in their time of service. Frozen while in our service.

    At any point, we can remove the employee by a simple vote via our State and replace them.

    And if an American voter employee breaks OUR laws set forth, prison time, not a slap on the wrist. We will vote on the punishment. As their is currently no longer a justice system, nor laws in place. That aspect has collapsed in the U.S..

    Legislators can still produce a bill (along with bills we tell them we want, as we are the executives), and it is our duty to vote whether it will benefit us, and if we want it.

    As it turns out, WE THE PEOPLES know more about the Constitution, budgets, financial aspects, and laws than the ones in DC. And them being so corrupt, evil, and of lower I.Q. must head to the more intelligent of our peoples (us) and be honored to be in service and be employed by their executive officers (United States of American Peoples).