Elizabeth Holmes, a former American entrepreneur in the field of biotechnology, who in 2015 was able to attract huge capital by claiming to create a revolution in the field of blood testing, shortly after conducting a judicial investigation for fraud and sentenced to prison and her 11-year prison term began today.
In 2015, after he claimed to have invented a new method in the field of blood testing and with just one drop of blood, he can provide all the information about a person’s health to doctors, the value of his startup company called Theranos skyrocketed. It lasted and was estimated at billions of dollars.
In the same year, Forbes magazine introduced her as the youngest and richest self-made billionaire woman in America and estimated the value of her assets at 9 billion dollars, but a year later, after the fraud and lies of this company were revealed, it revised its estimate and assets He declared his net worth to be zero, and Fortune magazine also listed him as one of the most disappointing entrepreneurs in the world.
“Theranos” claimed that with a proprietary technology and using a small amount of blood from a person’s fingertip, it can be used to detect diseases such as cancer or high cholesterol.
When Elizabeth Holmes was in high school, she successfully completed three university courses in Mandarin (the most common language in China), and some time later, she went to Stanford University to study chemical engineering. In the first year of university, he managed to receive a budget of 3 thousand dollars for research projects. Holmes had not yet reached his sophomore year when he left Stanford and began to focus on creative and ambitious ideas.
For this, he went to Channing Robertson, one of his professors, and invited him to establish a company. They founded the company “Real-Time Cures” and later changed the name of this company to Theranos (a combination of Therapy meaning treatment and Diagnose meaning diagnosis).
Theron’s decline began when a series of journalists and investigators questioned the company’s claims that it had misled investors and the US government.
The Wall Street Journal revealed the enormous problems Theranos was facing. This scandal was a severe blow to the company and heralded the company’s downfall in the future. The newspaper revealed that the Theranos blood test machine, called “Edison”, was providing low-precision outputs.
In 2018, the United States Securities and Exchange Commission (SEC) accused the former CEO of Theranos, Holmes and Rams Sonny Balwani of defrauding $700 million and attracting capital from the public through extensive fraud and lying about the company’s technologies. Holmes settled the charges by paying a $500,000 fine, returning 18.9 million shares to the company, ceding control of the company’s stock, and accepting a 10-year ban from public office.
In 2018, a federal court in America accused Holmes and Balwani (his ex-fiancé) of fraud and fraud. This trial finally ended in 2022 and the two were convicted of defrauding investors. Elizabeth Holmes was sentenced to 11 years and three months in prison, starting today, and also to pay a fine of $452 million to the affected people. Balwani was sentenced to 12 years and 11 months in prison.
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