Former Theranos CEO Elizabeth Holmes arrives at federal courtroom on October 17, 2022 in San Jose, California.
Justin Sullivan | Getty Pictures
Disgraced Theranos CEO Elizabeth Holmes has been rebuffed in her try to remain out of federal jail whereas she appeals her conviction for the fraud she dedicated whereas overseeing a blood-testing rip-off that uncovered Silicon Valley’s darkish aspect.
In an 11-page ruling issued late Monday, U.S. District Decide Edward Davila concluded there wasn’t compelling sufficient proof to permit Holmes to stay free on bail whereas her legal professionals attempt to persuade an appeals courtroom that alleged misconduct throughout her four-month trial led to an unjust verdict.
The choose’s choice means Holmes, 39, must give up to authorities April 27 to begin the greater than 11-year jail sentence that Davila imposed in November. The punishment got here 10 months after a jury discovered her responsible on 4 counts of fraud and conspiracy in opposition to the Thearanos traders who believed in her guarantees to revolutionize the well being care trade.
Holmes had accompanied her legal professionals to a San Jose, California, courtroom on March 17 to attempt to persuade Davila that varied missteps by federal prosecutors and the omission of key proof will culminate within the Ninth Circuit Court docket of Appeals exonerating her.
Her jail sentence is scheduled to begin roughly 20 years after Holmes dropped out of Stanford College when she was 19 years outdated to begin Theranos in Palo Alto, California â the identical metropolis the place William Hewlett and David Packard based an organization bearing their surnames in a small storage and planted the seeds of what grew into Silicon Valley.
Holmes may nonetheless file one other enchantment of the ruling Davila’s newest ruling, a maneuver that her co-conspirator at Theranos â Ramesh “Sunny” Balwani â efficiently used to delay his scheduled March 16 date to start an almost 13-year jail sentence. However the Ninth Circuit Court docket of Appeals final week rejected that enchantment, and Balwani is now scheduled to report back to a Southern California jail on April 20.
Davila has beneficial that Holmes serve her sentence in a Byron, Texas, jail. It hasn’t but been publicly confirmed if that would be the facility the place she experiences.
Except she will be able to discover a approach to keep free, Holmes will likely be separated from the 2 youngsters she had main as much as the trial and after her conviction.
Her first baby, a boy, was born shortly earlier than her trial started in September 2021. The youngest baby, whose gender hasn’t been disclosed in courtroom paperwork, was born in some unspecified time in the future after her November sentencing. She conceived each along with her present companion, William “Billy” Evans, who she met after breaking apart with Balwani within the midst of Theranos’ scandalous downfall.
The denial of Holmes’ request to stay free is the most recent twist in a long-running saga that has already been the topic of an acclaimed HBO documentary and an award-winning Hulu TV sequence.
Though they’d separate trials, Holmes and Balwani had been accused of basically the identical crimes centered on a ruse touting Theranos’ blood-testing system as a breakthrough in well being care. The claims helped the corporate develop into a Silicon Valley sensation that raised almost $1 billion from traders and at one level anointed Holmes with a $4.5 billion fortune, based mostly on her 50% stake in Theranos.
Holmes additionally parlayed the thrill surrounding Theranos to talking engagements on the identical stage as former President Invoice Clinton and glowing cowl tales in enterprise publication that likened her to tech visionaries comparable to Apple co-founder Steve Jobs.
However Theranos’ expertise by no means got here near working like Holmes and Balwani boasted, ensuing within the firm’s scandalous collapse and a prison case that shined a brilliant mild on Silicon Valley greed and hubris.