The founder of Theranos took the stand for four days and blamed others for the alleged fraud. On the fifth day, prosecutors tried to make clear that she knew.
The assistant U.S. attorney and lead prosecutor for the case pointed to text messages, notes and emails with Ms. Mr. Leach said that no one hid anything from her. He argued that she was to blame.
It was your responsibility at the end of the day. Mr. Leach asked.
Ms. Holmes said that was how she felt.
It was the culmination of three months of testimony and four years of waiting for the indictment. The goal of the prosecution is to show that Ms. Holmes knew she was misrepresenting Theranos to investors, doctors and the world.
The outcome of her case has consequences for the tech industry at a time when fast-growing start-ups are amassing wealth, power and cultural cachet. Few start-up founders have been prosecuted for misleading investors as they strive to hustle their long-shot business ideas into existence. If she is found guilty, Ms. Holmes will face up to 20 years in prison.
In 2015, the company raised $945 million on Ms. Holmes promise that its blood testing machines could perform hundreds of tests quickly and cheaply using just a few drops of blood. She started the company after dropping out of school.
Prosecutors have argued that the machines of Theranos could only conduct a dozen tests. Instead, it used commercially available machines. Two years of blood test results were voided by Theranos after misrepresentations were exposed. It settled lawsuits with investors and the SEC.
The person is from San Jose, Calif.
The person is from San Jose, Calif.
Carlos Chavarria is a writer for The New York Times.
Two counts of conspiracy to commit wire fraud and nine counts of wire fraud will be tried by a jury.
The key figures in the case are listed.
The person is from San Jose, Calif.
Stephen Lam.
Theranos was founded by a 19-year-old dropout. She raised $945 million from investors and was crowned the world's youngest billionaire, but she has been accused of lying about how well the technology worked. She has denied the charges.
The person is from San Jose, Calif.
The images are by Justin Sullivan.
The president and chief operating officer of Theranos from 2009 to 2016 was a romantic partner of the CEO. He is accused of fraud and may be tried next year. He has denied the charges.
The person is from San Jose, Calif.
The New York Times had Jefferson Siegel as a writer.
David Boies served on the board of Theranos.
whistle-blowers and reporters who questioned the company's business practices were tried to shut down.
The person is from San Jose, Calif.
The images are from the same company.
The journalist John Carreyrou exposed fraudulent practices at Theranos.
The implosion of Theranos was caused by his coverage of The Wall Street Journal.
The person is from San Jose, Calif.
Jeff Kravitz/FilmMagic.
Two people are whistle-blowers, one is a former Theranos employee. They worked at the start-up.
George Shultz was a former secretary of state and was on the Theranos board.
The person is from San Jose, Calif.
The New York Times has an employee named Eric Thayer.
James Mattis was a member of the board.
He was the secretary of defense.
The person is from San Jose, Calif.
The case will be overseen by a federal judge.
Kevin Downey is a partner at the Washington law firm Williams & Connolly.
The prosecution for the government will be led by Robert Leach, an assistant United States attorney for the Northern District of California.
Nov. 15, 2021.
Ms.Holmes tried to dismiss the fraud accusations as a misunderstanding of her statements. She emphasized her lack of experience and qualifications to run a scientific lab.
Ms.Holmes admitted to making mistakes. She said that she wished she did things differently.
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The Wall Street Journal exposed problems with the company's technology in 2015.
Ms.Holmes said that they messed it up. She admitted to reaching out to Murdoch, the owner of The Journal, to quash the story.
Ms. Holmes regretted the way Theranos treated Cheung, an employee who raised concerns about the company's lab practices. Theranos hired a private investigator to find Ms. Cheung and serve her with a legal threat.
She said that she wished we had treated her differently and listened to her.
Dramatic revelations about the relationship between Ms. Holmes and Mr. Balwani followed the testimony. She said through tears on Monday that she had been raped as a student and that Mr. Balwani had emotionally and physically abused her after that experience.
She accused Mr. Balwani of controlling what she ate, how she presented herself and how much time she spent with her family. She said that he forced her to have sex with him against her will and that she had to kill herself to be reborn as a successful businesswoman.
It was the first time that Ms. Holmes told her side of the story of Theranos, which had been portrayed as a tale of Silicon Valley arrogance and comeuppance. Her testimony gave a new light on the secret relationship she had with Mr. Balwani, which they had kept secret as her profile rose.
She tried to link her fraud charges to her relationship with Mr. Balwani, saying that he impacted everything about who she was. She said she broke up with him after she learned that the lab he oversaw had major issues.
She said there was no way she could save the company if he was there.
Mr. Balwani has denied the accusations. He will be tried separately from Ms. Holmes next year. He has denied the charges.
Text messages between Ms. Holmes and Mr. Balwani were used as evidence by Mr. Leach. He asked Ms. Holmes to read the text messages that showed her and Mr. Balwani. The pair referred to each other as tigers in between pep talks about Theranos.
In one exchange, Mr. Balwani said that he and you could build the business.
Mr. Leach asked Ms. Holmes to verify that she had just read an example of Mr. Balwani acting friendly towards her. Ms.Holmes cried for a second time on the stand.
According to a professor at the University of Minnesota Law School who has written a book on intimate partner violence and the law, the prosecution could try to undermine Ms. Holmes's previous testimony.
Ms. Hasday said that it can be effective because people have a lot of misconception about intimate partner violence.
The trial will resume next week.
The reporting was contributed byErin Woo.
