Lawyers for Elizabeth Holmes were unsuccessful in their last-ditch attempt to have her fraud conviction tossed, bringing the disgraced Theranos founder one step closer to serving jail time.
Jurors concluded back in January that 38-year-old Holmes, once lauded as a Silicon Valley superstar, knowingly bilked investors out of millions of dollars by claiming her new health technology, a test nicknamed Edison, could perform a sweeping analysis for health and medical issues with just a single drop of blood. She was found guilty in federal court on charges of conspiracy to defraud investors and wire fraud and conspiracy.
U.S. District Judge Edward Davila issued a preliminary ruling on Thursday upholding the guilty verdict. He will announce his final decision on Oct. 17, when he is scheduled to sentence Holmes for her crimes.
Former Theranos CEO Elizabeth Holmes, center, her mother, Noel Holmes, left, and father, Christian Holmes IV, arrive at federal court in San Jose, Calif., Thursday, Sept. 1, 2022. (Jeff Chiu/)
The onetime tech wunderkind is facing up to 20 years in prison and a $250,000 fine, plus restitution.
One of her lawyers, Amy Saharia, failed to convince Davila during the 90-minute hearing that jurors acted irrationally when they returned their verdict in the case. She also contended prosecutors did not meet the standard for proving Holmes had criminal intent to commit fraud
Theranos founder Elizabeth Holmes, center, and her parents, Noel Holmes, left, and Christian Holmes, leave the Robert F. Peckham Federal Building and U.S. Courthouse in San Jose, Calif., on Thursday, Sept. 1, 2022. (Dai Sugano/)
In response, the judge said the panel of eight men and four women made their decision based on reasonable inferences from evidence presented at the trial, but that he would look further into Saharia's claims.
Theranos COO Ramesh "Sunny" Balwani, Holmes's second-in-command and former boyfriend, was also convicted for his role in Theranos' scam. He was found guilty on 12 counts of wire fraud and defrauding investors and patients in July.
With News Wire Services