CA - Elizabeth Holmes (Theranos) Wire Fraud Thread *Guilty* #2

[Seattle1]

A mixed verdict: Theranos founder, Elizabeth Holmes, found guilty of defrauding investors but not patients

1/4/22

Stephanie Ruhle is joined by CNBC’s Yasmin Khorram, Andrew Ross Sorkin, and criminal defense attorney, Danny Cevallos, to discuss the latest developments in the trial of Theranos founder, Elizabeth Holmes, who has been found guilty on four counts of fraud for misleading investors about her company’s blood testing machines, and is currently awaiting sentencing.

 

[Smelly Squirrel]

Could they do federal charges with other victims? They associated one count with one victim the first time around. They could potentially just get a whole 'nother batch?

I wonder that too. If so, it would be a good opportunity to retry the hung charges too. I suspect though that the feds will take this verdict as a win and move on.

 

[whitelilac]

Evan Sernoffsky@EvanSernoffsky
15h

Tyler Schultz reaction to Elizabeth Holmes verdict

Tyler Schultz. An amazing young man with great integrity and courage.
Theranos Whistleblower Shook the Company—and His Family

 

[Smelly Squirrel]

The Holmes Verdict Sends a Mixed Message to Investors - Bloomberg Opinion

The odd part is that Holmes seems to have been convicted of fraud only against investors who asked few questions. The jury appears to have accepted the defense’s argument that investors who sought and were denied more data should have known better.

This result might mirror existing law, but it creates incentives that are, to say the least, peculiar. One might read the verdict as suggesting that the less curiosity an investor displays before buying, the greater the protection extended by law.

Interesting if that's what the jury was going by - that if an investor asked questions, they gave her less culpability.

 

[LinasK]

While I am glad she was at least found guilty on some counts, IMO this jury let us all down. I sadly believe she will get a slap on the wrist and move on to her next con. She has learned nothing from this. As always though, I hope I am wrong.

Yeah, I ran across a woman on Facebook who thinks that Holmes was singled out for prosecution solely because she was a woman! Despite the fact that Sunny's case is about to go to trial and was severed from hers.

 

[LinasK]

I agree.

The real, key issues here are also about how she deceived and devised to defraud and manipulate the US Government's regulatory agencies, CMS in coming up with schemes to avoid compliance with laboratory practice laws, medical device laws, and Medicare fraud in pushing her employees to promote and misguide a fraud scheme.

Her massive deflection of her own guilt onto her laboratory medical directors and medical scientists is a huge crime that will not likely get the punishment it so clearly deserves.

To me, the patients that got false test results which could have ruined their lives is far more important than investors losing money.

 

[LinasK]

The Holmes Verdict Sends a Mixed Message to Investors - Bloomberg Opinion



Interesting if that's what the jury was going by - that if an investor asked questions, they gave her less culpability.

That's twisted. Eisenman deserved as much justice as the DeVos family. He had every right to know how his investment was being used.

 

[nyvictoria]

EH is on bail due to non-violent, white-collar charges. Federal sentencing has a crazy timeframe -- it will be months!

It was a no-brainer EH would be convicted on investor fraud and wire fraud of select investors given she previously pled guilty to settled her SEC fraud charges.

Prosecutor should have focused more on the innocent patients here.

I’m afraid that too many people feel she “only’ scammed rich investors. That’s why I’m so disappointed that she was not convicted on the patient charges. I hope the Judge is not lenient with her. She’s a menace, who doesn’t feel she did anything wrong, so I doubt she’s learned anything from this ordeal.

 

[RickshawFan]

I wonder that too. If so, it would be a good opportunity to retry the hung charges too. I suspect though that the feds will take this verdict as a win and move on.

I think the opposite: I think the feds will threaten new charges and do-over on the mistrials to push EH into pleading guilty on them. She's already going to prison. She'd potentially get ALOT more time if she risks a new trial. On the other hand, she could start taking some responsibility and maybe make some inroads on an enormous sentence.
IMO

 

[RickshawFan]

I’m afraid that too many people feel she “only’ scammed rich investors. That’s why I’m so disappointed that she was not convicted on the patient charges. I hope the Judge is not lenient with her. She’s a menace, who doesn’t feel she did anything wrong, so I doubt she’s learned anything from this ordeal.

All of a sudden, I have the idea that not being convicted on the patient charges could be a HUGE liability for EH in prison. Everyone in there is going to be in the demographic of the patients, very few (if any) in the demographic of the investors. I would be very resentful. I would not want to sit next to her at dinner. I would want to sabotage her with staff. I would want to give her less than her share of dessert and/or salad in the dinner line...

 

[LinasK]

I think the opposite: I think the feds will threaten new charges and do-over on the mistrials to push EH into pleading guilty on them. She's already going to prison. She'd potentially get ALOT more time if she risks a new trial. On the other hand, she could start taking some responsibility and maybe make some inroads on an enormous sentence.
IMO

I don't see her suddenly taking responsibility. She's a manipulator. She'll do that in prison too.

 

[nyvictoria]

All of a sudden, I have the idea that not being convicted on the patient charges could be a HUGE liability for EH in prison. Everyone in there is going to be in the demographic of the patients, very few (if any) in the demographic of the investors. I would be very resentful. I would not want to sit next to her at dinner. I would want to sabotage her with staff. I would want to give her less than her share of dessert and/or salad in the dinner line...

Unless they throw her in with the other white collar criminals at Club Fed. They’ll probably admire her.

 

[RickshawFan]

Unless they throw her in with the other white collar criminals at Club Fed. They’ll probably admire her.

I really don't think they will. White collar folks get blood tests, too....

 

[RickshawFan]

I don't see her suddenly taking responsibility. She's a manipulator. She'll do that in prison too.

I agree. But if she fights she might get herself a lot more time in the pokey.

 

[Elley Mae]

Theranos founder Elizabeth Holmes: Inside her weird lifestyle

Theranos founder Elizabeth Holmes: Inside her weird lifestyle

....

Weird is the way I have viewed her. I do have to wonder if she has ever been diagnosed with something.

Jmo

 

[whitelilac]

Theranos founder Elizabeth Holmes: Inside her weird lifestyle

Theranos founder Elizabeth Holmes: Inside her weird lifestyle

....

Weird is the way I have viewed her. I do have to wonder if she has ever been diagnosed with something.

Jmo

It's beyond me how she managed to rope in highly intelligent and accomplished people and investors. Did she hypnotize them with that fake voice and creepy stare? She makes me shiver.

 

[UndiscoveredTruth]

Evan Sernoffsky Retweeted

Miles G. Cohen@MilesGCohen
9h

EXCLUSIVE: Juror speaks out after convicting #ElizabethHolmes "It was an honor. It was a duty," the juror told me. "I did it. I'm done." My latest on the #Theranos founder for@ABC
News:

EXCLUSIVE: Juror speaks out after convicting Elizabeth Holmes

 

[meanmaryjean]

It's beyond me how she managed to rope in highly intelligent and accomplished people and investors. Did she hypnotize them with that fake voice and creepy stare? She makes me shiver.

She roped in older men primarily. Targeted if you ask me.

 

[Smelly Squirrel]

EXCLUSIVE: Juror speaks out after convicting #ElizabethHolmes "It was an honor. It was a duty," the juror told me. "I did it. I'm done." My latest on the #Theranos founder for@ABC
News:

EXCLUSIVE: Juror speaks out after convicting Elizabeth Holmes

Kaatz also said that, early on in their deliberations, the jury had decided to acquit Holmes on all four counts of fraud against patients, because the CEO was "one step removed" from the alleged victims, and thus the jury didn't feel they were directly defrauded.

I don't buy that. She knew the devices were unreliable and using them on actual patients was ultimately up to her as the person most responsible.

The jury also found Holmes' seven days of testimony to be largely non credible. The 12 members ranked each witness's testimony one through four, with one being non credible and four being the most credible, Kaatz said.

Holmes scored a two, he told ABC News.

From what I understand of her testimony, I would give it a 1. Her memory was very good under direct, but under cross all of a sudden she had no memory of conversations even of remembering what she meant when shown text messages or emails she wrote. She lied prolifically while on the stand. She had a good memory and told the truth when it benefitted her. You don't get credit simply for not lying all the time.

The guy in the video, Kew, seemed very sympathetic to Holmes, said he found her testimony believable, but still he did convict her on some charges, which is odd. Jurors are so often a bafflement to me.

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
8h

There's a lot to say about the Holmes' verdict, but here are four takeaways from it, according to legal pros.

4 Takeaways From Elizabeth Holmes' Fraud Verdict - Law360