Ramesh Balwani, the ex-boyfriend of Elizabeth Holmes, was convicted of fraud at Theranos

Ramesh “Sunny” Balwani (Reuters / Brittany Hosea Small)

A jury on Thursday convicted former Theranos CEO Ramesh “Sunny” Balwani of cooperating with him Insult Elizabeth Holmes, CEO of Theranosin a large-scale scam That included the blood-testing company that once swept Silicon Valley.

The jurors found the 12 in pots Guilty of all 12 criminal counts of defrauding both Theranos investors and patients who relied on unreliable blood tests It could put their health at risk.

Al-Balwani sat idly while reading the sentences, blinking frequently.

The result puts Balwani and Holmes in similar situations. Holmes was found guilty of four counts of fraud and conspiracy among investors earlier this year. During that trial, Holmes tearfully accused Balloni of sexually assaulting her while they were lovers. Al-Balwani’s lawyer strongly denied the accusations.

Both Holmes, 38, and Balwany, 57, They face up to 20 years in prison.

Holmes is due to be sentenced at the end of September. It is expected that the date of the verdict will be announced in the coming days.

Holmes, 38, and Balwani, 57, each face up to 20 years in prison.
Holmes, 38, and Balwani, 57, each face up to 20 years in prison.

Double convictions represent a landslide victory for federal prosecutorswho used the state of Theranos as a rare opportunity to Holding aspiring entrepreneurs responsible for engaging in technological exaggeration while searching for fame and fortune. In the process, they expect Discourage the practice of making bold, unproven promises about nascent products, a startup strategy known as “false it until you make it.”

After reading the verdicts and rejecting the jury, Al-Balwani approached his two brothers who were sitting behind him in a formal discussion. The three sat in silence with their heads bowed.

After the verdict, Judge Edward Davila Balwani’s bail was raised from $500,000 to $750,000, and his sentence was set on November 15. Holmes, who is currently released on $500,000 bail, was sentenced on September 26.

Although Holmes hinted during her trial that Balwani had manipulated her into making poor decisions, Balwani’s attorneys openly sought to place the blame for any misconduct squarely on Holmes.

As part of Balwani’s defense, lawyers noted that Holmes was not only the CEO but also a Silicon Valley star who convinced investors to invest nearly $1 billion in Theranos.. Holmes boasted that his company had found a way to screen for hundreds of potential diseases with a device called the Edison that could test a few drops of blood taken from a finger prick. This technology could revolutionize medical care.

Elizabeth Holmes (Reuters / Brendan McDermid).
Elizabeth Holmes (Reuters / Brendan McDermid).

But it turns out that Edison never worked properly and provided false test results by Theranos as part of a deal to set up small laboratories at Walgreens drugstores. Flaws in Theranos’ boastful technology led Holmes and Balwani to turn their tests into traditional machines made by other vendors and while drawing vials of blood from patients’ veins, a far cry from Holmes’ promises.

After pledging about $15 million of his own money to support Theranos and then becoming the company’s chief operating officer in 2010, Balwani eventually oversaw a blood-testing lab that was producing inaccurate results and oversaw the Walgreen deal.

Unlike Holmes, who spent seven days in the witness stand during his trial, al-Balwani did not testify in his own defense.

Balwani’s defense mirrored Holmes’ defense in one key aspect: Both described the couple as hard workers who believed so deeply in Theranos technology that they never sold their stake in Palo Alto, California. Sometime in 2014, Holmes’ fortune was estimated at $4.5 billion, while Balwani’s Theranos was estimated at $500 million.

But it all started to fall apart in late 2015 after that A series of explosive materials in The Wall Street Journal Uncover rampant problems with Theranos technology. By May 2016, Holmes had abandoned Balwani as his business partner and romantic partner. Holmes is now the mother of a young son born to her current partner, Billy Evans, who has been by her side for most of her trial.

(with information from AP)

Read on:

Elizabeth Holmes, founder of Theranos, has been convicted of fraud in the United States
Elizabeth Holmes, founder of Theranos accused of fraud, denounces the sexual and psychological abuse of her partner and lover in the company
The embarrassing romance that could save billionaire Elizabeth Holmes from spending 20 years in prison

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