CA - Elizabeth Holmes (Theranos) Wire Fraud

[Niner]

Thank you (again!) @UndiscoveredTruth for the posting of the tweets!

Have a nice Thanksgiving everyone!

 

[UndiscoveredTruth]

Thank you (again!) @UndiscoveredTruth for the posting of the tweets!

Have a nice Thanksgiving everyone!

A massive thank you right back at you for all the court information you've been posting too @Niner

Yes, Happy Thanksgiving to all who celebrate it.

Stay safe and we'll see you next week when the trial resumes!

 

[Kittybunny]

Now that Elizabeth is testifying, there's tons of main stream media articles out there. This is a good one that shows how her strategy is to pass the buck and blame everybody else. She's pretty smooth I will give her that, and very good at that vague corporate speak that uses a lot of big words to say nothing. I bet the prosecution is licking its chops, I think the most damning thing she admitted was putting those logos on the reports.

https://news.google.com/articles/CB...b2dvLWNvbmZlc3Npb24?hl=en-US&gl=US&ceid=US:en

 

[Niner]

Update for Monday:

Monday, Nov 29 2021
09:00AM
5:18-cr-00258-EJD - USA v. Elizabeth Holmes
Motion for Miscellaneous Relief

10:00AM
5:18-cr-00258-EJD-1 - USA v. Elizabeth A. Holmes
AUSA: Jeffrey Schenk/DEF:Kevin Downey
Further Jury Trial


link: CALENDAR

 

[mickey2942]

"I am just a "dumb blonde"." defense.

I really can't roll my eyes hard enough for this.

 

[Seattle1]

Elizabeth Holmes Trial: Live Updates

Elizabeth Holmes Trial: Live Updates
Last Updated: Nov 27, 2021 at 9:39 am ET
Over the first 11 weeks of the criminal trial of Elizabeth Holmes, founder of failed blood-testing startup Theranos Inc., prosecutors sought to offer testimony that would persuade jurors she intended to defraud patients and investors. Now it’s her turn. Follow the latest developments.

 

[Niner]

Monday, Dec. 29th:
*Motion Hearing (@ 9am PT) & Trial continues (Day 34) (@ 10am PT) - CA – for *Elizabeth A. Holmes (34/now 37) (CEO of Theranos) charged (March, 2018) & indicted (6/14/18) & arraigned (6/15/18) with 9 counts of wire fraud & 2 counts of conspiracy to commit wire fraud and charged & indicted (4/11/20) with fraud relating to a patient's blood test. Another count of wire fraud was added in 2020, bringing the total number of felony charges to 12. Plead not guilty. No bond. Faces a maximum sentence of 20 years in prison & up to $2.75 million in fines, plus restitution, & $250K for each individual count of wire fraud & conspiracy.
Defrauding investors out of $700 million in funding for their blood-testing startup Theranos.
Trial began on 8/31/21 with jury selection. 12 jurors of 7 men & 5 women (6 Caucasians, 4 Hispanics & 2 Asians) with five alternates (3 men & 2 women). Juror #7 excused & replaced with alternate #1. Now jurors are 8 men & 4 women. Alternates 2 men & 2 women. 10/6/21: Juror #4 excused & replace with alternate #2. Now jurors are 8 men & 4 women. Alternates 2 men & 1 woman. 10/22/21: The judge excused Juror #5, moving up the third alternate to replace the juror. Both are women. No word on why the juror was excused. Now jurors are 8 men & 4 women. Alternates 2 men.
Trial began on 9/8/21.
The Court trial days will be Tuesday, Wednesday & Friday, possibly other half days. The Court may modify the trial time & set either 8:30am-2pm or 9am-2pm & possibly 30-minute breaks in between. Judge Edward J. Davila presiding. Jury selection was on 8/31 & 9/1 completed. Judge Davila said the juror whose mother-in-law died suddenly last week wants to travel for a few days next week for the memorial service, so trial won't be in session next Friday, Oct. 29. 10/20/21: Judge Davila notes that a juror can't be in court Friday, 11/12 & 12/3 & the judge has a conflict in November at some point due to a meeting in the Ninth Circuit committee. Motions hearing on 11/2/21, 11/16/21 & 11/17/21. Trial dates: 11/29, 11/30, 12/3, 12/7, 12/8, 12/9, 12/10, 12/13, 12/16, 12/17 so far & no court from 12/21/31 thru 1/6/22.
Indictment & court info from 4/11/20 thru 8/26/21 & on 9/30/21 & on 11/2/21 & jury selection (Day 1-3) 8/31/21 to 9/2/21 & trial (Day 1-32) 9/8/21 to 11/22/21 & motions hearing on 11/8/21 & 11/19/21 reference post #879 here:
CA - Elizabeth Holmes (Theranos) Wire Fraud
11/22/21 Tuesday, Trial Day 33: Defense witness: Elizabeth Holmes back on stand for direct by Kevin Downey.
for more info see posts #882 to 898 here:
CA - Elizabeth Holmes (Theranos) Wire Fraud
Trial is breaking for the day, and Holmes' counsel Kevin Downey hasn't finished her direct examination. Trial is taking a long break for Thanksgiving until Monday, 11/29/21 @10am. Added to schedule: Motion for miscellaneous relief hearing on 11/29/21 @ 9am.
*Ramesh “Sunny” Balwani (53/now 56) (CFO & President of Theranos) – Pretrial conference hearing on 12/16/21 & trial set to begin on 1/11/22 with jury selection & trial starts on 1/18/22.

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
Nov 25

The jury deciding criminal fraud charges against Elizabeth Holmes will likely be eating turkey tomorrow, mulling over Holmes' testimony yesterday in which she expressed regret for her mistakes, but defended her actions as well-intended. My recap!

Holmes Admits Adding Pfizer Logo To Reports For Walgreens - Law360

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
3h

Good morning from San Jose! It’s after 6 a.m. and the line to get inside the courthouse for day 4 of Elizabeth Holmes’ examination isn’t so bad. (Hallelujah.) Standby for tweets!

Dorothy Atkins@doratki
2h

Trial doesn't start until 10, but there'll be a hearing at 9 over Holmes' request to admit certain statements that Sunny Balwani made in civil litigation during the SEC's probe into Theranos -- even though his attys say he plans to plead the 5th. Notably missing is abuse claims.

Dorothy Atkins@doratki
2h

The DOJ doesn't want Balwani's statements to come in. Prosecutors argue (in part) that Balwani was in love w/ Holmes during his SEC depo - even though it was a year after they broke up - so his statements aren't trustworthy.

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
47m

Judge Ed Davila is on the bench and Holmes is in the courtroom. The judge notes that "we're having another technical problem today" - the jury monitors aren't working - but "hopefully that will get resolved."

Dorothy Atkins@doratki
42m

Jean Ralph Fleurmont is up arguing for Holmes. He's making his first oral argument during this trial. He's usually in the overflow courtroom sitting quietly and closed lipped like the Old Guard at Arlington, alongside Holmes' other atty Richard Simon Cleary.

Dorothy Atkins@doratki
41m

Fleurmont says Balwani plans to invoke his 5th Amendment right not to testify if Holmes calls him as a witness, and the court doesn't need to bring him in just to have him say that on the stand.

Dorothy Atkins@doratki
28m

Fleurmont says the SEC subpoenaed Balwani and deposed him in 2017 asking him specifically about the four issues they want admitted in trial. He also notes that the DOJ had access to the millions of docs associated w/ the SEC probe.

Dorothy Atkins@doratki
14m

Prosecutor Kelly Volkar says the timeline is "very critical," b/c the SEC probe was before the criminal indictment and therefore Balwani's interview was an exploratory, info gathering deposition during an early investigation akin to the 9th Circ's 2012 case SEC v. Jasper.

Dorothy Atkins@doratki
12m

Volkar notes that the defense filed the motion over introducing Balwani's statements right before Thanksgiving, and it's unclear why they thought they needed to file the motion while Holmes is on the stand, "but I'm sure my colleagues have a good reason for it."

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
8m

Volkar says courts question the trustworthiness of family members' statements due to "love," but that can also apply to romantic relationships like Balwani & Holmes', which lasted for a decade. "Maybe there were non-loving parts of it, but I'm not getting into that right now."

Dorothy Atkins@doratki
11m

Fleurmont says the court should admit Balwani's statement that he created Theranos' financial modeling, but Volkar says there's a distinction b/w financial modeling & projections & the statements should be excluded b/c it's deflecting blame when Holmes & Balwani worked together.

Dorothy Atkins@doratki
8m

Volkar adds that they should ask Balwani if he's going to plead the 5th, b/c there are q's he may answer. Judge Davila notes that Balwani's counsel "has some interest in this case" (they've been here everyday) and "is it possible we can reach out to the audience" and ask if them?

Dorothy Atkins@doratki
20s

Holmes' counsel says "we don't need to do that," and Volkar also says due to the timing - they may not want to ask Balwani's counsel now about whether he will plead the 5th in Holmes' trial.

Dorothy Atkins@doratki
1h

The parties moved on to argue over the admissibility of emails about patient Erin Tompkins who testified she received erroneous HIV results. Holmes' counsel argues that the emails show the patient was provided more context to interpret her results so she knew she didn't have HIV.

Dorothy Atkins@doratki
1h

The judge took the arguments under submission and we're taking a break, so that the court staff can check the jury monitors. Brb!

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
29m

Judge Davila is back on the bench. He asks the attorneys about "timing." Holmes' counsel says he expects to wrap Holmes' direct exam today, and cross will begin today and likely take up tomorrow.

Dorothy Atkins@doratki
16m

The jury is in the courtroom and Elizabeth Holmes is back on the stand. Holmes' counsel Kevin Downey begins today's exam by pointing to a 2014 email from Dr. Jay Rosen to Holmes and Balwani in which he said "I'm a believer."

Dorothy Atkins@doratki
15m

Holmes says Walgreens' reports indicated that Theranos' service was expanding public access to blood tests and their goal was to help people who were scared of needles, including elderly patients who bruise easily when their blood is drawn venously.

Dorothy Atkins@doratki
6m

Holmes says Theranos had been talking with the military for "about a year and a half" about entering an agreement with U.S. Central Command - or CENTCOM - and they finally cut an agreement for Theranos to do a study for the military in Dec 2012.

Dorothy Atkins@doratki
17m

Holmes says the agreement was that Theranos would ship its devices to Afghanistan to test how they held up in extreme conditions, but "there was a whole series of workstreams that had to be dealt with" in order to work with the DoD.

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
14m

Holmes said once they entered the agreement, Theranos invested tens of millions of dollars to build new specific devices that would comply with DOD specifications and they included a "whole new software suite" and "biohood" system, which included a "HEPA-type system."

Dorothy Atkins@doratki
11m

Holmes says Theranos worked in 2013 on the Afghanistan contract, but "we weren't able to finish the work on time based on the terms of the contract" b/c Theranos was launching in retail. Holmes says she was "very much" disappointed, but thought the relationship would continue.

Dorothy Atkins@doratki
9m

Holmes says Theranos also had a contract with the U.S Special Operations Command, or SOCOM, and developed devices that they sent to a SOCOM facility, but "we needed time to develop the device" and to accommodate SOCOM's blood-test menu list.

Dorothy Atkins@doratki
7m

Elizabeth Holmes' counsel asks her if she ever said the military was using Theranos' devices in military medevac situations in remote areas. "I don’t think I did," she says.

Dorothy Atkins@doratki
6m

Holmes says Theranos had contracts with the military and they were working with orgs in the military to "ultimately potentially use it in these settings" (meaning medevac), and "I spoke about it on occasion, but I said we were prioritizing retail beyond anything at that point."

Dorothy Atkins@doratki
3m

Holmes' counsel shifts subjects to Theranos' demos in 2011 to 2016. Holmes says Daniel Young oversaw demos and reviewed results before they were released, and she wasn't at every demo and they varied, depending on the purpose of the demo and "what someone wanted to see."

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
2m

Holmes says that she understood Theranos was using a "null protocol" during some demos in which errors weren't shown to viewers.

Holmes counsel: "Did you have any concern that it was misleading?"

Holmes: "Not at all."

Dorothy Atkins@doratki
6m

Holmes counsel notes that Holmes was on emails in which Theranos team members discussing changing or modifying test resuts. Holmes says she thought there was "a process" and sometimes they needed to make changes due to reference ranges but Daniel Young made the call.

Dorothy Atkins@doratki
5m

Holmes says she never overruled Daniel Young or the lab team's decisions to change the patient test data or contradicted their recommendations.

Dorothy Atkins@doratki
4m

Holmes says in 2010 Theranos hired Wilson Sonsini Goodrich & Rosati to evaluate the company's IP portfolio, and the law firm estimated the IP was worth more than $1 billion.

Dorothy Atkins@doratki
1m

Holmes says Sunny Balwani was responsible for managing Theranos' lab operations, but the lab director was responsible for the clinical processes and quality procedures.

 

[Herat]

I don't understand the point of presenting all her potential deals, like with Pfizer for example, or the successful studies and tests. Could've, would've, should've doesn't negate any of the fraud and device failures.

Exactly.

Just because Pfizer fell prey to the hype doesn't make it any less of a fraud

A very prestigious medical facility in the Northeast US agreed to review the Theranos technology and results. Suffice it to say the project closed very quickly once their clinical laboratory scientists saw the information and no report has ever been issued.

 

[Herat]

Dorothy Atkins@doratki
2m
Holmes says Sunny Balwani was responsible for managing Theranos' lab operations, but the lab director was responsible for the clinical processes and quality procedures.

And there is the first buck-passing statement.

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
3m

Holmes says Theranos hired Jerry Hurst to create a CLIA lab and "we were certified in 2011 and no deficiencies were identified." She says she thought that meant that Theranos' hundreds of lab policies and procedures "were good."

Dorothy Atkins@doratki
24s

Holmes says when she first met Dr. Adam Rosendorff and interviewed him for the lab director opening "he seemed to be a really qualified," and experienced. "He seemed to have perfect expertise for what we wanted to do," she says, adding that they also hired a quality control head.

Dorothy Atkins@doratki
3m

Holmes says she thought Theranos' proficiency testing, which she says Rosendorff implemented, was "performing extremely well."

Dorothy Atkins@doratki
47s

Holmes' counsel asks her if she told Theranos lab personnel to hide anything about Theranos or its procedures during CMS' 2013 inspection. "Absolutely not," she replies.

Dorothy Atkins@doratki
10m

Holmes says in 2016 she learned that Theranos had done between 8-12 million tests in its clinical lab through its Walgreens partnership. She says she never overruled Theranos' lab director on whether patients should get their results.

 

[Herat]

Dorothy Atkins@doratki
3m

Holmes says Theranos hired Jerry Hurst to create a CLIA lab and "we were certified in 2011 and no deficiencies were identified." She says she thought that meant that Theranos' hundreds of lab policies and procedures "were good."

Dorothy Atkins@doratki
24s

Holmes says when she first met Dr. Adam Rosendorff and interviewed him for the lab director opening "he seemed to be a really qualified," and experienced. "He seemed to have perfect expertise for what we wanted to do," she says, adding that they also hired a quality control head.

Dorothy Atkins@doratki
3m

Holmes says she thought Theranos' proficiency testing, which she says Rosendorff implemented, was "performing extremely well."

Dorothy Atkins@doratki
47s

Holmes' counsel asks her if she told Theranos lab personnel to hide anything about Theranos or its procedures during CMS' 2013 inspection. "Absolutely not," she replies.

Dorothy Atkins@doratki
10m

Holmes says in 2016 she learned that Theranos had done between 8-12 million tests in its clinical lab through its Walgreens partnership. She says she never overruled Theranos' lab director on whether patients should get their results.

Rosendorf's Linked In profile does not include the name of the company he was working with from 2013 to 2014, only as a "privately held biotechnology company" that is located in Silicon Valley

Wow. Bad enough to scrub it from your resume'

 

[Herat]

Dorothy Atkins@doratki
3m

Holmes says in 2016 she learned that Theranos had done between 8-12 million tests in its clinical lab through its Walgreens partnership. She says she never overruled Theranos' lab director on whether patients should get their results.

Isn't anyone going to ask how many lab tests were run on the Siemens or other traditional laboratory analyzers and how many were ONLY run on the Edison thing?

Wouldn't it be fraud to claim all 8-12 million tests were ONLY run on the Edison?

 

[UndiscoveredTruth]

Dorothy Atkins@doratki
28m

Holmes says Erika Cheung never communicated her concerns about Theranos' lab to her, but she learned that Tyler Schultz was raising q's about Theranos' tests, and she asked Daniel Young to meet with Schultz and address his concerns.

Dorothy Atkins@doratki
3m

Holmes' counsel points to an email Young sent Holmes summarizing his meetings w/ Schultz in which Schultz raised q's about Theranos proficiency testing. Young explained Theranos' PT policy to Schultz and Holmes says she thought Schultz "had been confused about certain issues."

Dorothy Atkins@doratki
2m

Young's email says Schultz was "happy" to learn Theranos' PT policies, and so Holmes says she thought his confusion had been cleared up and that Young's explanation had been sufficient. He later emailed her more concerns and she replied these are "very very serious" allegations.

Dorothy Atkins@doratki
10s

Holmes again passed Schultz' concerns to Daniel Young. Holmes says she thought Young understood the regulations at issue and worked with Schultz so she thought he could respond best to his concerns.

Dorothy Atkins@doratki
3m

Holmes says Sunny Balwani and Adam Rosendorff's relationship was a source of frustration for them, and Rosendorff had disagreements with Daniel Young. When Rosendorff quit in Nov 2014, Holmes says she was "taken aback," and not prepared to replace him.

Dorothy Atkins@doratki
1m

Holmes says after Rosendorff gave his notice, he was "very different and he was increasingly agitated." Holmes says he never expressed concerns about implementing Theranos' proficiency standards before, and she thought she was clear that she would give him any tools he needed.

Dorothy Atkins@doratki
5m

Holmes says she didn't play any roll in hiring Dr. Lynette Sawyer and Dr. Sunil Dhawan to fill in as Theranos' lab director, but she understood that they would only serve for "a very short period of time."

Dorothy Atkins@doratki
3m

Trial is taking a ~40min break. Coffee run time, brb!