293 0 obj /Tabs /S To conduct any kind of research for any company in any industry. 334 0 obj 10 0 obj endobj endobj /K 6 /S /LI She is photographed in 2014 while speaking about the company's vision at their headquarters in Palo Alto . Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement (updated 1/1/20) and Privacy Policy and Cookie Statement (updated 1/1/20) and Ars Technica Addendum (effective 8/21/2018). Theranos dissolved in September 2018 and founder Elizabeth Holmes now faces up to 20 years in prison for fraud and conspiracy. /S /P 11 [null null 169 0 R null null null 170 0 R null null null /K 24 /Pg 247 0 R >> /K 6 356 0 obj /Lang (EN-US) /Kids [245 0 R 246 0 R 247 0 R 248 0 R 249 0 R] >> /K 202 0 R >> "Sunny Balwani did not start Theranos," said the lawyer . >> /K 12 << endobj /K 215 0 R /Type /Page Theranos competitors include TED, Bloomberg, HuffPost, National Journal, Washington Plaza Hot, Morgan Stanley, Newsweek. /K 6 /K 122 0 R Theranos is in the biotechnology industry. endobj /Lang (EN-US) /P 8 0 R >> endobj /CropBox [0 0 612 792] 185 0 obj >> Mission statements, where crafted and utilized effectively, have been proven to drive billions of dollars in corporate value. For example, the defendants represented to investors that Theranos conducted its patients tests using Theranos-manufactured analyzers; when, in truth, Holmes and Balwani knew that Theranos purchased and used for patient testing third party, commercially-available analyzers. /Lang (EN-US) >> Founded in 2003 by then 19-year-old Elizabeth Holmes, Theranos raised more than US$700 million from venture capitalists and private investors, resulting in a $10 billion valuation at its peak in 2013 and 2014. >> /Pg 256 0 R /CropBox [0 0 612 792] 379 0 obj endobj << 185 0 R null null] /Lang (EN-US) /K [30 396 0 R] << endobj /P 8 0 R /P 48 0 R 341 0 obj 4 0 obj << /K 18 At times during that period, Balwani worked in several capacities including as a member of the companys board of directors, as its president, and as its chief operating officer. None of the information on this page has been provided or approved by Theranos. 306 0 obj /S /Sect << /Pg 257 0 R >> << !xRnE1$g9`8\\5g1^"z+. /Pg 257 0 R The indictment charges each defendant with two counts of conspiracy to commit wire fraud, in violation of 18 U.S.C. /S /LI >> Anyone who engages in deceptive practices should know they will not go undetected and will be held accountable. /S /P /S /LI /Contents [441 0 R 442 0 R 443 0 R] /S /TR /P 8 0 R /Lang (EN-US) /K 184 0 R /P 270 0 R >> /P 55 0 R /P 289 0 R (Photo by Kristoffer Tripplaar/AP). /S /P << /P 262 0 R /P 50 0 R /Pg 235 0 R /S /LI /K 22 /Lang (EN-US) endobj endobj /Lang (EN-US) /Pg 239 0 R /P 281 0 R endobj << >> 182 0 obj /K 182 0 R /K 3 /Pg 235 0 R /S /P /Lang (EN-US) 131 0 obj endobj /Contents [493 0 R 494 0 R 495 0 R] /S /LBody 171 0 R null null] /S /LI The United States Postal Inspection Service has a long history of successfully investigating complex fraud cases, said Inspector in Charge Rafael E. Nuez. << 35 0 R 36 0 R 37 0 R 38 0 R 39 0 R 40 0 R 41 0 R 42 0 R 43 0 R 44 0 R >> << << Help other job seekers by rating Theranos. /Lang (EN-US) /Pg 249 0 R A sign outside of the headquarters of Theranos in Palo Alto, California on January 24, 2016. /MediaBox [0 0 612 792] /S /LI /Pg 235 0 R /S /LBody << << 17 [null null 204 0 R null null null 205 0 R null null null /S /LBody /S /LBody >> /Pg 247 0 R >> /S /LI >> << /K 18 The largest donation made to a political party by a Theranos employee was << /S /LBody endobj /K [374 0 R 375 0 R 376 0 R 377 0 R 378 0 R 379 0 R] >> >> Most of the tests that Theranos was performing for clients were done on devices made by other companies, Cheung testified. >> /CropBox [0 0 612 792] 196 0 obj endobj 389 0 obj << >> /CropBox [0 0 612 792] 397 0 obj endobj Holmes said she was inspired to start the company in response to her fear of needles. 291 0 obj /S /P /K 33 /StructParents 14 /K 160 0 R endobj Prosecutors Call Theranos Ex-CEO Elizabeth Holmes A Liar And A Cheat As Trial Opens Defense lawyers say Holmes believed the company could screen for hundreds of diseases with just a finger prick . -Theranos is now worth $9 billion dollars; Holmes currently owns about half the company-Forbes named her one of the youngest female self-made billionaire before the age of 30. . Nov 8, 2017. /K 143 0 R /P 286 0 R /K [273 0 R 274 0 R] It's unclear whether Theranos' rise and fall will turn out to be a dazzling mirage of "would-be" business . << endobj The national average salary for a Theranos employee in the United States is $44,094 per year. << /Lang (EN-US) /K [268 0 R 269 0 R 270 0 R 271 0 R 272 0 R] /Pg 236 0 R 38 0 obj 210 0 obj 5 [null null 137 0 R null null null 138 0 R null null null /P 51 0 R /S /L 1 0 obj >> << 61 0 obj /P 8 0 R /P 51 0 R /K 176 0 R 209 0 obj 73 0 obj /Pg 250 0 R endobj endobj 393 0 obj endobj 178 0 obj endobj /Type /Pages /P 381 0 R /P 51 0 R The company spent over $150,000 surveilling her and another whistleblower. endobj 345 0 obj >> /Pg 256 0 R << /Rotate 0 /K 180 0 R /Rotate 0 /Pg 235 0 R /P 327 0 R endobj The Theranos story has been turned into an HBO . /P 8 0 R /S /P /MCID 2 << 1. /Lang (EN-US) << /S /LI Walgreens ended its blood-testing partnership with the company, and the Department of Health and Human Services effectively banned Theranos in 2016 from doing any blood testing work at all. endobj /K 45 >> endobj /StructParents 10 << 29 0 obj 239 0 obj << endobj /Lang (EN-US) /K 25 /P 50 0 R /P 292 0 R /Contents [429 0 R 430 0 R 431 0 R] /K 12 /S /P /P 55 0 R endobj /P 8 0 R /P 50 0 R /K [22 386 0 R] endobj << /P 51 0 R << /K 28 Elizabeth Holmes blue eyes and baritone voice, her, albeit incomplete, Stanford credentials and well-crafted life narrative were the perfect exterior to a dream-come-true vision of a better future for millions of people. /Lang (EN-US) 363 0 obj /MediaBox [0 0 612 792] /S /LBody endobj << << >> The Theranos founder intentionally deceived investors, a US . endobj It became evident that audited financial statements hadn't been prepared since 2009. /Rotate 0 /Type /Page >> >> /Tabs /S << /S /LBody /S /P /K 10 /S /LI /S /LBody The defendants nevertheless used interstate electronic wires to purchase advertisements intended to induce individuals to purchase Theranos blood tests at Walgreens stores in California and Arizona. /K 9 /Pg 258 0 R 235 0 obj /Tabs /S 256 0 obj Theranos Inc. (/ r. /Lang (EN-US) << /Pg 248 0 R /Kids [240 0 R 241 0 R 242 0 R 243 0 R 244 0 R] Northern District of California, FOR IMMEDIATE RELEASEFriday,June 15, 2018, Elizabeth Holmes and Ramesh Sunny Balwani Are Alleged to Have Perpetrated Multi-million Dollar Schemes to Defraud Investors, Doctors, and Patients. endobj endobj << 388 0 obj /Pg 258 0 R /P 33 0 R D:20180314151216 /P 55 0 R In addition, the defendants delivered to doctors and patients blood results that were inaccurate, unreliable, and improperly validated. >> /K 18 endobj /Pg 236 0 R endobj endobj /Endnote /Note The far-reaching nature of Theranos promises pulled stakeholders attention towards the end state rather than the more practical and operational nature of the challenges that needed consideration in order to successfully implement the purported technological approach. /S /L /StructParents 6 >> /Resources 476 0 R >> >> /Resources 484 0 R << /Pg 235 0 R /S /LBody Elizabeth Holmes speaks on stage at the Glamour Women of the Year Awards where she receives an award, in New York, NY on Nov. 9, 2015. 237 0 obj /P 319 0 R /K 4 /TextBox /Art /P 282 0 R 201 0 obj /Pg 244 0 R /K 18 /MCID 2 231 0 obj 153 0 obj /P 8 0 R << /Lang (EN-US) /K 144 0 R /P 8 0 R /P 51 0 R endobj /Lang (EN-US) /Resources 444 0 R /Pg 235 0 R /K 8 null] /Lang (EN-US) << - Sep 15, 2021 3:40 pm UTC. /Pg 239 0 R /S /P /Lang (EN-US) 21 [60 0 R 61 0 R 62 0 R null null 229 0 R null null null 230 0 R >> endobj 139 0 R null null null 140 0 R null null null 141 0 R null endobj >> >> /S /L << /S /LI /K 14 << /Tabs /S For the small private firm, the publically traded company or the large enterprise vision, effort and determination needs to be firmly tied to the track - compliance. /Pg 257 0 R /Lang (EN-US) >> /S /LI >> /S /LI /Lang (EN-US) /K 21 /K 33 endobj endobj /S /P /S /LI /MCID 2 /P 390 0 R endobj >> >> /S /P /P 8 0 R >> Theranos's mission statement is "Our mission is to make actionable information accessible to everyone at the time it matters". /Pg 238 0 R /ModDate (D:20180314090210-07'00') /Pg 254 0 R 134 0 obj /K [15 0 R 16 0 R 17 0 R 18 0 R 19 0 R 20 0 R 21 0 R 22 0 R 23 0 R 24 0 R >> /S /LI endstream << /StructParents 4 /MCID 2 >> << >> >> >> /Lang (EN-US) /Type /MCR /K 6 >> /P 8 0 R 43 0 obj /P 288 0 R 221 0 obj endobj /Lang (EN-US) endobj >> << /P 375 0 R << null null 191 0 R null null null 192 0 R null null] endobj endobj /S /P /S /LI endobj endobj endobj /P 166 0 R endobj >> >> 162 0 obj null null 131 0 R null null] endobj 253 0 obj endobj /MediaBox [0 0 612 792] >> << >> 386 0 obj /Pg 243 0 R endobj >> >> /Placement /Block << endobj Cheung said she joined the company largely on the star power of its CEO. It then allegedly used those articles to generate financial interest. /K 145 0 R /Parent 13 0 R << endobj . << endobj endobj Instead, a vision made boundless by its sharp divide from reality and its extraordinarily narrow goals ended up only perpetuating a state of motivated blindness. endobj /Lang (EN-US) /K 1 93 0 R] /K 127 0 R Theranos is ranked #71 on the Best Start-up Companies to Work For in America list. Palo Alto, United States August 18, 2016: Elizabeth Holmes accepts The Entrepreneur award at, the 25th Annual Glamour Women of the Year Awards on Nov. 9, 2015, in New York. /Lang (EN-US) >> << Mission Statement. /K 140 0 R 132 0 obj Avoid simply listing what your company does and shift your focus to the bigger picture: what guides your company strategy and inspires your workforce. /S /P Yam said that Theranos lost $16.2 million in 2010, $27.2 million in 2011, $57 million in 2012, and $92 million in 2013. 25 0 R 26 0 R 27 0 R 28 0 R 29 0 R 30 0 R 31 0 R 32 0 R 33 0 R 34 0 R >> 52 0 obj 326 0 obj 226 0 obj /K 14 /S /LI /K 213 0 R 15 [null null 192 0 R null null null 193 0 R null null null /S /P The company's stated mission was to "revolutionize medical laboratory testing," according to the Department of Justice. >> >> endobj /Pg 257 0 R /P 304 0 R /P 324 0 R /K 11 << The company claimed to be able to provide over 240 finger-prick blood tests, including ones that could reportedly detect cancer, according to The Wall Street Journal. /P 48 0 R >> Follow Mike Snider on Twitter:@mikesnider. $12,600 to the Democratic Party. /Annots [] << The first week of Theranos founder Elizabeth Holmes' fraud trial is now complete. 141 0 obj 82 0 obj endobj /Contents [485 0 R 486 0 R 487 0 R] /S /P /Pg 238 0 R >> 311 0 obj >> /Pg 242 0 R 201 0 R null null null 202 0 R null null null 203 0 R null /Lang (EN-US) >> << endobj << 274 0 obj /S /LBody 250 0 obj >> 62 0 obj endobj << October 2015, the first in a series of Wall Street Journal articles challenged Theranos technology and expertise; by mid-2016, the advisory board disappeared and a fiduciary board was created. /P 325 0 R /P 329 0 R endobj /K 7 << /P 42 0 R endobj /S /LBody /Lang (EN-US) /Lang (EN-US) /K 30 1349, and nine counts of wire fraud, in violation of 18 U.S.C. /S /L According to a statement from the SEC, "Theranos, Holmes, and Balwani made numerous false and misleading statements in investor presentations, product demonstrations, and media articles by which they deceived investors into believing that its key productcould conduct comprehensive blood tests from finger drops of blood, revolutionizing the . The story raised concerns about the accuracy of Theranos blood-testing technology, which put patients at risk of having conditions either misdiagnosed or ignored. /K 8 He . 370 0 obj /P 8 0 R /Outline /Span endobj << >> /Lang (EN-US) >> /Pg 255 0 R 204 0 obj /Lang (EN-US) /Metadata 4 0 R /Kids [250 0 R 251 0 R 252 0 R 253 0 R 254 0 R 255 0 R 256 0 R 257 0 R 258 0 R] 359 0 obj 112 0 obj 126 0 obj << << /K 6 /Pg 242 0 R << >> /Pg 257 0 R /P 8 0 R /CropBox [0 0 612 792] 156 0 obj /Resources 480 0 R >> by Elizabeth Holmes. 2018-03-14T08:41:27-07:00 << >> /Type /Page /Lang (EN-US) endobj /Pg 238 0 R << /S /LI >> /S /LBody endobj /K 14 /S /L endobj << /P 48 0 R endobj /P 8 0 R 220 0 obj /P 51 0 R /P 8 0 R /Parent 14 0 R /Pg 253 0 R 352 0 obj /K 32 >> /S /LI /Annots [] << 80 0 obj >> However, any sentence following conviction would be imposed by the court after consideration of the U.S. Several months later, with encouragement from her professor, Channing Robertson, Holmes quit Stanford. << endobj /Lang (EN-US) /S /P /K 171 0 R /Pg 240 0 R 377 0 obj 275 0 obj /Contents [409 0 R 410 0 R 411 0 R] /P 54 0 R /P 59 0 R /Pg 253 0 R /K 261 0 R What we know for certain is that behind this particular corporate failure lies a cautionary tale of boundless visioning that all investors, entrepreneurs and organizations seeking breakthrough innovations should be interested in further understanding. 227 0 R null null null 228 0 R null null] >> /StructParents 15 /K 19 203 0 obj /S /LBody /K 198 0 R /S /LBody /Lang (EN-US) /Pg 235 0 R Holmes, who founded Theranos in 2003 at age 19 with the lofty mission of revolutionizing blood testing, has pleaded not guilty. << << /P 48 0 R /Type /Page << /P 8 0 R /Rotate 0 300 0 obj >> 158 0 obj Its not uncommon for startups to lose money in their early years, and its not entirely unusual for the fastest burn rate to happen right before things turn around. /P 310 0 R >> /P 381 0 R << /S /LI /Lang (EN-US) /K 24 << /K [26 388 0 R] >> endobj /Pg 245 0 R such statements undermine confidence . Powered and implemented byFactSet Digital Solutions. 315 0 obj /P 370 0 R /Lang (EN-US) endobj endobj /K 10 46 0 obj >> /Lang (EN-US) endobj The company claimed that it had devised . A vision and its attached goals may inspire and motivate, but they can also severely contrive our ability to consider a broader set of possibilities or address contradictory information. /P 389 0 R >> /P 8 0 R 351 0 obj << << /Lang (DE-DE) /P 42 0 R /K [10 392 0 R] 341 0 R 342 0 R 343 0 R 344 0 R 345 0 R 346 0 R 347 0 R 348 0 R] /Lang (EN-US) /CreationDate (D:20180314084127-07'00') 105 0 R 106 0 R 107 0 R 108 0 R 109 0 R 35 0 R 36 0 R 37 0 R 38 0 R null 331 0 obj << /Lang (EN-US) endobj /Lang (EN-US) >> /Pg 255 0 R /S /P null null 142 0 R null null null 143 0 R null null] /S /LBody /S /LI /K 9 It involves a dream, a mission, a plan, a vision and quite possibly monumental corruption. 138 0 obj She had a charisma to her; she was very articulate,Cheung saidof Holmes. The fact that key stakeholders at Safeway remained upbeat despite the arrogant and secretive behaviors of Theranos executives and the lack of any real hard proof associated with many of the claims Theranos was making is extremely revealing. 395 0 obj /Type /MCR 157 0 obj /S /LI /Lang (EN-US) /K 118 0 R /Bibliography /BibEntry << /Lang (EN-US) /P 50 0 R /K 135 0 R In many ways, Theranos is the embodiment of Silicon Valley startup culture. /Pg 235 0 R << Zippia Score 4.7. endobj /P 54 0 R << /MediaBox [0 0 612 792] "That's a crime . /Tabs /S /Pg 244 0 R In 2013, things had "started to get a bit tight," Yam said. /P 275 0 R /S /LBody >> >> Holmes rocketed to Silicon Valley stardom nearly a decade ago when she started speaking publicly about Theranos's vision a small . 194 0 R null null null 195 0 R null null null 196 0 R null /K 216 0 R endobj /P 293 0 R /S /LBody << /Pg 235 0 R endobj endobj The Seattle-based coffee giant originated in 1971 and has since become ubiquitous around the world. /K 153 0 R /StructParents 18 Onetime wunderkind Holmes and Balwani, her former partner in business and domestic affairs, stand charged with nine federal counts . /K 154 0 R /P 351 0 R /P 59 0 R << >> She had a strong sense of conviction to her mission., Cheung quit after seven months on the job and filed a whistleblower complaint with the Centers for Medicare and Medicaid Services, alleging that the company used expired lab supplies for tests run on its proprietary Edison testing devices, which themselves had major stability, precision, and accuracy problems., I was uncomfortable processing patient samples, she said. << /S /LBody endobj /Lang (EN-US) >> /Pg 240 0 R /S /LBody /Type /Page /Subtype /XML endobj Theranos was a private health care company, with a mission to revolutionize lab testing through innovative methods for drawing blood, testing blood, and interpreting resulting patient data. /MediaBox [0 0 612 792] /K 4 218 0 obj /Pg 248 0 R /S /LI /K 6 313 0 obj endobj /MCID 2 endobj But indictments said Holmes andher colleague and former romantic partner Ramesh Sunny Balwani, lied about the technology, the company's finances, and its partnerships with the Department of Defense and Walgreens.