Elizabeth Holmes sentenced to 11 years in prison for Theranos fraud : NPR

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Elizabeth Holmes sentenced to 11 years in prison for Theranos fraud : NPR
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Former Theranos CEO Elizabeth Holmes arrives for her sentencing in federal court with partner Billy Evans in San Jose, California. Holmes was found guilty of four counts of fraud for allegedly participating in a multi-million dollar scheme to defraud investors.

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Elizabeth Holmes Sentenced To 11 Years In Prison For Theranos Fraud : Npr

Former Theranos CEO Elizabeth Holmes arrives for her sentencing in federal court with partner Billy Evans in San Jose, California. Holmes was found guilty of four counts of fraud for allegedly participating in a multi-million dollar scheme to defraud investors.

Justin Sullivan/Getty Images

Elizabeth Holmes, the former CEO of blood testing startup Theranos once considered a Silicon Valley star, was sentenced to more than 11 years in prison on Friday after being convicted of fraud earlier this year.

“Looking back, there are so many things I would do differently if I had the chance. I regret my failures with every cell in my body,” Holmes told U.S. District Judge Edward Davila before issuing the sentence. sentencing in a federal courthouse in San. Jose, California.

He ordered Holmes to spend three years on probation after serving his sentence.

Prosecutors have asked Holmes to serve 15 years behind bars, citing the huge financial loss and the need to deter future fraudulent schemes in the tech industry. His defense lawyers had asked for home confinement.

Holmes, 38, who is pregnant with her second child, is due to report to jail in April.

In January, a jury convicted Holmes on four fraud-related counts for his role in deceiving investors about supposedly breakthrough technology that could scan hundreds of conditions with just a few drops of blood. It’s a feat that lab scientists around the world have tried to accomplish for years, but Holmes, a Stanford high school dropout, said she’s perfected it.

She made nearly a billion dollars in investment on the premise that her proprietary blood-testing devices would revolutionize healthcare, but prosecutors argued during the trial that Holmes falsified test results, lied blatantly about the abilities of his tests and tried to cover it up. when whistleblowers and journalists started looking into what was really going on at the company.

It is almost unheard of in Silicon Valley for an executive to face criminal charges following a corporate collapse. But legal experts said the seriousness of Holmes’ crimes and the fact that she operated in the highly regulated world of health care made the Theranos case exceptional.

Yet Holmes’ accusation has sparked a debate in tech circles about possible sexism, with some wondering why the men who ran tech startups that failed after unfulfilled promises never faced charges. criminal.

However, there seems to be more control over high-flying tech startups. The Department of Justice is reportedly investigating the now bankrupt FTX, a crypto exchange. Its recent implosion wiped out former CEO Sam Bankman-Fried’s $16 billion wealth, which Bloomberg called “one of the greatest wealth destructions in history.”

Federal investigators are investigating the breakup of the company, with the specter of possible criminal charges being discussed among legal experts.

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