Disgraced Theranos founder Elizabeth Holmes indicted on criminal charges

Disgraced Theranos founder Elizabeth Holmes indicted on criminal charges

Along with Holmes, Ramesh "Sunny" Balwani, former president of Theranos, is being charged by the DOJ as well.

"This indictment alleges a corporate conspiracy to defraud financial investors", said FBI Special Agent in Charge John F. Bennett.

After the testing device that Holmes claimed would be able run hundreds of medical tests on a single drop of blood was shown not to work, Holmes was barred from running a clinical company by US regulators and was sued by investors, and the company let go many of its employees.

After the SEC charged her and the company with fraud earlier this year, Holmes was stripped of control and is barred from serving as an officer or director at any public company for the next decade.

Theranos, which is headquartered in Palo Alto, announced Friday that Elizabeth Holmes has stepped down as CEO and David Taylor, the company's general counsel, will take her place. They also made false and misleading statements to the media, according to the indictment.

Tiger Woods bombs in US Open disaster
Jude Classic. "Making a triple and two doubles, not very good". "I knew it was going to be tough", Gregory said after his round. Rose said. "I enjoy the battle". "Physically, I feel good, and mentally, I'm excited to be here, excited to be playing".

Elizabeth Holmes is no longer running Theranos, the company that promised a portable blood analyzer that could have changed blood testing, if it had been what the company promised.

The U.S. Attorney's Office in the northern district of California said in a press release Friday Holmes and Balwani are accused of engaging in a "multi-million dollar scheme to defraud investors".

Holmes and Balwani conducted fake technology demonstrations for investors in which they falsely claimed their system was testing blood when in fact it was set on a "null protocol" to make it look like it was testing blood but wasn't, the indictment alleges.

The company allegedly claimed that the product was used by the Defense Department on the battlefield in Afghanistan, generating $100 million in revenue for the company in 2014.

This story is developing.

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