5 ms·

Listening the the Theranos story I can't figure out why she hasn't been charged.

by rdlecler1 9y ago

un9T64pPJGY7vR 9y ago
Why is that? Which law did Theranos or their founder break?
- sooheon 9y ago
  It's always hard to tell without hearing intonation whether questions like this are asked in good faith out of genuine curiosity, or as a bid to steer the conversation towards semantics and nits. Whether one can list the specific laws broken by Theranos in their specific jurisdiction is one question, whether the fraudulent nature of the company passes the bullshit test is another.
- orthoganol 9y ago
  Seeing as people I know who don't even know or care much about Silicon Valley talk about Elizabeth Holmes like she's the next Jeff Skilling (something about Houston I guess), it seems, at the minimum, highly likely, given lawsuits, severed ties, total collapse, etc. that she trafficked in fraud. You're welcome to push PR on me, but you're fighting common sense, for better or worse.
- deleted 9y ago
  [deleted]
- nkw 9y ago
  18 USC 1343, 18 USC 1001, and/or 15 USC 78j(b)?
  - Bartweiss 9y ago
    I'd be surprised if it wasn't wire fraud (1343) at least, all that takes is sending an email with the claims. The only challenge would be proving that a specific person knew a specific claim was false.
- ebbv 9y ago
  She made totally false claims about her technology to investors; claiming they were performing tests with their own tech when they were using outside tech. That seems like fraud to me? The reality is she's too well connected and wealthy to see any jail time, though.
  - sjg007 9y ago
    Lead investor was a friend of her family if I remember the news correctly. I think there is also some deal to remunerate the investors with more shares in exchange for not filing a civil suit, but that might liquidate the company. Not sure if the SEC has weighed in yet or if there are financial crimes. Maybe. Maybe there is hope the business can turn around. They have enough cash that they could buy a promising new technology/business.
- x0x0 9y ago
  I don't know anything about the investments, but I'm guessing a variety around providing human diagnostic testing that will be the basis for medical decisions.

Listening the the Theranos story I can't figure out why she hasn't been charged.

un9T64pPJGY7vR 9y ago

Why is that? Which law did Theranos or their founder break?

sooheon 9y ago
It's always hard to tell without hearing intonation whether questions like this are asked in good faith out of genuine curiosity, or as a bid to steer the conversation towards semantics and nits. Whether one can list the specific laws broken by Theranos in their specific jurisdiction is one question, whether the fraudulent nature of the company passes the bullshit test is another.
orthoganol 9y ago
Seeing as people I know who don't even know or care much about Silicon Valley talk about Elizabeth Holmes like she's the next Jeff Skilling (something about Houston I guess), it seems, at the minimum, highly likely, given lawsuits, severed ties, total collapse, etc. that she trafficked in fraud. You're welcome to push PR on me, but you're fighting common sense, for better or worse.
deleted 9y ago
[deleted]
nkw 9y ago
18 USC 1343, 18 USC 1001, and/or 15 USC 78j(b)?
- Bartweiss 9y ago
  I'd be surprised if it wasn't wire fraud (1343) at least, all that takes is sending an email with the claims. The only challenge would be proving that a specific person knew a specific claim was false.
ebbv 9y ago
She made totally false claims about her technology to investors; claiming they were performing tests with their own tech when they were using outside tech. That seems like fraud to me? The reality is she's too well connected and wealthy to see any jail time, though.
- sjg007 9y ago
  Lead investor was a friend of her family if I remember the news correctly. I think there is also some deal to remunerate the investors with more shares in exchange for not filing a civil suit, but that might liquidate the company. Not sure if the SEC has weighed in yet or if there are financial crimes. Maybe. Maybe there is hope the business can turn around. They have enough cash that they could buy a promising new technology/business.
x0x0 9y ago
I don't know anything about the investments, but I'm guessing a variety around providing human diagnostic testing that will be the basis for medical decisions.