Theranos founder Elizabeth Holmes takes stand in her criminal trial
SAN JOSE, CALIF — Elizabeth Holmes removed her mask and, with a smile on her face, took the stand on Friday to testify in her criminal trial, a sudden and surprising move by the defense team, which began its case earlier in the day.
Holmes, 37-years old, was charged with 11 counts each of wire fraud, conspiracy to commit fraud, and other related charges for her role as the founder and CEO, Theranos. Theranos closed in 2018 after Holmes’ departure. She has pleaded not guilty.
The prosecution summoned 29 witnesses in the initial 11 weeks of trial. These included former laboratory directors, investors, patients and doctors. This was The government restedAfter Thursday’s testimony of Roger Parloff who was the author of the 2014 Fortune magazine, the company will argue its case on Friday morning. cover story“This CEO is out for blood.”
Holmes, if convicted, could be sentenced to up to 20 years in prison. She has not been accused of any wrongdoing.
Elizabeth Holmes, founder and former CEO at Theranos’ blood-testing and life sciences company, is in San Jose for the start of her fraud trial. September 8, 2021
Getty Images| AFP | Getty Images
Holmes had not been indicated by the defense attorneys whether or not she would testify. She was summoned and confidently came up to the podium shortly after 3:00 p.m. California Time. Holmes is the first person that jurors have ever seen without wearing a mask.
Kevin Downey was one of Holmes defense attorneys and began to question her. Holmes stated that her team had made technological advances between 2009-2010 in one of her initial statements.
Holmes stated that Holmes worked with engineers and scientists for many years to reduce the size of all technologies within the lab.
Downey wanted to know about Holmes’ public comments regarding Theranos testing limits and whether or not she is limiting these remarks to just certain tests. Holmes said, “No.”
Numerous company insiders including former laboratory assistant and whistleblower Erika CheungTheranos could only run twelve different tests with its devices, contrary to company claims. Holmes previously told investors and other potential buyers that Theranos’ technology could do 1,000 blood tests.
Holmes kept her attention on Holmes’ lawyer, and did not look at any of the other 50 people present. She then went through her Stanford history and the reasons she decided to leave. The company was originally known as Real-Time Cures. The name changed to Theranos when Holmes returned home in 2005. Jurors were told by her that she attempted to raise money and get a laboratory so that scientists could be hired.
Holmes stated that they were prototyping, and added that an early team had been trying to create components of technology. “I had the chance to hire some of my colleagues at Stanford.
Holmes answered Downey’s question about how she had funded early stages of the business.
Holmes explained that Holmes began by speaking to her parents. Holmes was able to borrow money from them and she said, “It started off with me talking to my family. They let me use the money they’d saved for me to go college.” Holmes said, “Then I borrowed money.”
Holmes raised more than $940m from wealthy people and institutions over the years to eventually reach a company valuation of $9 billion. Many investors testified in support of Holmes’ prosecution and said they believed Holmes was misleading them about the potential of his technology as well as its market traction.
Holmes, on Friday, was asked to answer questions about Don Lucas who is the founder and backer of Lucas Venture Group. Holmes claimed that Lucas was her friend when she helped raise Series B funds for the company.
Holmes stated, “Don Lucas was an early VC in Silicon Valley.” She said she had known Lucas as someone who was committed to building great long-term companies. OracleHis investments include National Semiconductor, Adobe and Adobe.
“I was introduced by someone who went to college with me,” she explained. He had many questions. He started a thorough diligence process.”
Downey inquired what it meant.
Holmes explained that Holmes had hired Holmes to help review patents. He asked for an audit of the financial statements. He asked for copies of contracts.
Holmes stated that she had later met Oracle founder. Larry EllisonThrough Lucas. Ellison, Lucas, and Chris Lucas were all part of the Series C Investment Round.
Holmes’ testimony lasted approximately one hour. At 4:10 pm Judge Edward Davila declared that court will be closed until Monday. According to Holmes’ lawyer, Holmes will be on the witness stand until Tuesday of next week. The rest of next week will be off to celebrate Thanksgiving.
WATCH: Prosecutors expected to wrap up case against Theranos’ Elizabeth Holmes