Elizabeth Holmes, former CEO of Theranos and Ramesh Balwani, former Theranos COO. Yichuan Cao/NurPhoto via Getty Images, Holmes Justin Sullivan/Getty Images, Balwani
Elizabeth Holmes will accuse Ramesh Balwani (ex-boyfriend and ex-business partner) of abuse during her criminal trial.
Theranos founder Balwani will claim that Balwani threw "sharp” objects at her, controlled her eating and dressing habits, and impacted her "state-of-mind."
Balwani's attorney called the allegations salacious and inflamatory.
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Elizabeth Holmes, founder of Theranos plans to accuse her ex-boyfriend and ex-business partner, of "intimate partners abuse", as part of her defense strategy for her fraud trial.
Holmes will claim that Ramesh Balwani, former Theranos vice chair, COO and president, threw "sharp objects" at her and controlled how and what she ate, according to federal court filings.
According to Holmes' lawyers Lance Wade, and Kevin Downey, Balwani had control over Holmes during a "decade-long campaign psychological abuse." According to the documents, she will also accuse him for sexual abuse.
Holmes will claim during her trial in California that Balwani monitored Holmes' calls, texts and emails. This impacted her "state of Mind," which includes her decision to ignore the failures of her blood-testing startup which was supposed revolutionize medical testing.
In 2018, the US Department of Justice indicted Holmes and Balwani on nine counts of wire fraud. They were accused of defrauding customers, investors, and medical professionals. Both have pleaded guilty.
Holmes was among a few female founders of Silicon Valley's unicorns before her arrest and Theranos' demise. Theranos claimed to be able to detect medical conditions such as high cholesterol and cancer using its proprietary lab tech. It only required a small sample of blood from customers. To build the tech, Theranos raised more than $700 million from investors.
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New court documents reveal how Holmes plans to defend against fraud allegations. Holmes' lawyers stated that Holmes would tell the court she had post-traumatic stress disorder, anxiety and depression.
Holmes, according to the lawyers, will also detail how Balwani was physically present in Holmes' office and how she often isolated her.
According to court documents, Balwani denied these allegations through his lawyer.
Jeffrey Coopersmith, Balwani’s lawyer, stated that "Ms. Holmes’ allegations are deeply offensive for Mr. Balwani and devastating personally to him," calling the accusations salacious, inflammatory.
Coopersmith said that Holmes's evidence to prove her innocence would require him not only to defend the government, but also to defend against her claims. Her allegations are so inflaming that they can't be ignored by the jury.
Balwani will be facing a separate fraud trial in the coming year.
Holmes' lawyers also stressed that Holmes, 31, did not intend to deceive despite exaggerated claims. Instead, she believed that her company was "saving people'.
According to Holmes' lawyers, Holmes is likely to testify in the trial.
After John Carreyrou, Wall Street Journal, published a 2015 report that stated her blood-testing machine had failed, the truth about Holmes' machines came out. The US Securities and Exchange Commission issued a statement in 2018 accusing Holmes "of committing a complex, long-running fraud."
Prosecutors claimed she knew from the beginning. Theranos had been shut down by September 2018.
Theranos founder will spend up to 20 years in prison for fraud and conspiracy charges related to the accuracy and capabilities of her machines. After being repeatedly delayed due to various reasons, including the pandemic and childbirth, her trial will begin in San Jose on August 31.
Business Insider has the original article.
