Theranos CEO Elizabeth Holmes charged with criminal fraud

NEW YORK (AP) — Federal prosecutors have indicted Elizabeth Holmes on criminal fraud charges for allegedly defrauding investors, doctors and patients as the head of the once-heralded blood-testing startup Theranos.

The U.S. Attorney’s Office for the Northern District of California said late Friday that Holmes and her chief operating officer Ramesh Balwani, are charged with two counts conspiracy to commit wire fraud and nine counts of wire fraud.

Holmes, a Stanford University dropout once billed as the “next Steve Jobs,” founded Theranos as a blood-testing company. However investigations into the company showed its testing results to be wrong or deeply inaccurate.

The Securities and Exchange Commission brought civil fraud charges against Holmes and Balwani three months ago. Holmes settled with the SEC. Balwani is fighting the charges.

Categories: California News