enlarge / Elizabeth Holmes (C), founder and former CEO of Blood Testing, with her mother, Noel Holmes, on November 18, 2022 in San Jose, California Smith and partner Billy Evans walked into federal court for her sentencing hearing. ) Elizabeth Holmes was sentenced to 11.25 hours in federal prison for her conviction on four counts in January years, plus three years overseeing defrauding investors of her defunct blood-testing company, Theranos. Compensation in the case, to be determined at a later hearing, has yet to be determined. Sentence below federal sentencing guidelines of 20 years , but still higher than the nine years recommended by the probation officer in the Holmes case. Federal prosecutors want 38-year-old Sherlock Holmes to be sentenced to 15 years Imprisoned, and paid approximately $804 million in damages for defrauding investors. Holmes’ lawyers, meanwhile, are asking for only 18 months of house arrest, arguing she has “essentially no assets” to pay the nine-figure fine. Judge Edward Davila, U.S. District Court for the Northern District of California The jail terms were announced today in San Jose, California, where reporters began gathering outside the courtroom hours before the sentencing began at 10 a.m. PST. First in line was Wall Street Journal reporter John Carreyrou, who was the first to break the news about the hot startup’s fatal problems, including its famous Edison blood-testing machine not working properly. Prior to this, Holmes promised her innovative The machine can perform over 200 medical tests with just a few drops of blood. Promise and hype, led by Holmes’ ambition and confidence, pushed Theranos’ valuation to $9 billion in 2014, attracting big investors including Safeway and Walgreens. In today’s sentencing, Davila, who presided over the entire trial of Holmes The judge concluded that Holmes’ fraud resulted in a total loss of $121 million in the value of the company’s stock, according to reporters in court. That would increase the federal recommendation for Holmes’ sentence to between 11 and 14 years, he noted. Davila then began the hearing, which began with last-minute arguments and presentations from both sides. Holmes read in court a pre-written speech, saying she owes Theranos responsibility. In tears, she said she was “devastated” by the failure and “felt a deep pain” in the years since the company collapsed. Just before sentencing, Davila said the case ” It’s disturbing on so many levels,” and suggested that Holmes’ fraud was motivated by hubris or a “drunk” reputation. ” Holmes’ fate at trial is fascinating given the With her high-profile rise and dramatic fall, she has attracted widespread media attention and public interest. She has become the poster child for Silicon Valley’s brazen tactics. “Elizabeth Holmes” was trending on Twitter on Friday morning, despite the platform’s internal There is confusion. Her sentence may be seen as a bellwether of future white collar fraud. Two portrayals in their court documents, Federal prosecutors argued that the long prison terms would “not only help deter future entrepreneurial fraud schemes,” but also “rebuild the trust investors must have when funding innovators.” ” Overall, they paint with harsh light Holmes, noting that during Theranos’ fleeting heyday, Holmes flew on private jets, lived in $15 million mansions, and graced the covers of numerous glossy magazines. Meanwhile, patients using her technology Got inaccurate medical results on pregnancy, cancer, HIV testing, etc. Investors lost millions in short order.
“Over the years, Elizabeth Holmes defrauded dozens of investors out of hundreds of millions of dollars,” prosecutors wrote. “Time and time again, She chose to cheat rather than be honest. She falsified her own endorsement… robbed her investors of hope… exploited the credibility of her illustrious board. And, through her deceit, she gained astounding fame, admiration, and billion-dollar fortune. ” They also argued that she did not take responsibility for her behavior, rather than downplaying her fraudulent behavior and deflecting responsibility.” She stood in front of the court ruthlessly. She accepts no responsibility. Quite the contrary, she insisted that she was a victim. She is not,” prosecutors wrote. Holmes’ attorney Countering that Holmes was a contrite, well-intentioned and altruistic man, and arguing that harsh sentences could stymie innovation. At the same time, they portrayed Theranos’ wealthy investors as sophisticated but careless about their investments. In today’s In documents and debates, Holmes’ team emphasized that Holmes never cashed out her stock or used investor funds for luxury items such as yachts. “Ms. Holmes founded Theranos for indisputable reasons, and devoted resources and energy to righting wrongs, but failed to deliver,” they wrote in a filing. ” She strives every day to be a good friend, partner, mother and citizen who brings positive well-being to those around her. Ms Holmes was not driven by greed, as the government apparently couldn’t resist sticking to the advice despite overwhelming evidence to the contrary. “
The document states that Holmes is apparently pregnant with a second As a child, she has become a rape crisis counselor, providing 500 hours of counseling during the trial. Her attorney also submitted more than 100 letters of support for Holmes from friends, family and colleagues. Holmes is scheduled to report to prison in April, but she is expected to appeal the conviction
