The closing statement begins on the Sunny Balwani trial
For months, Ramesh Balwani’s attorney tried to separate him from Elizabeth Holmes, his ex-girlfriend and business partner of the failed blood test company Theranos.
Holmes was found guilty of conspiracy to defraud investors in January. Mr Balwani is seeking different results in his own fraud trial.
But on Tuesday, in a statement closing Balwani’s trial, prosecutors bound him. Directly to Ms. Holmes and the years of fraud at Theranos. Jeffrey Schenk, an assistant U.S. attorney and water prosecutor in the case, quoted Balwani as saying in 2015 that Holmes was used as evidence in the trial.
“I am responsible for everything in Theranos,” Balwani wrote, “it’s all my decision.”
“He acknowledged his role in the fraud,” said Schenk.
The abduction closed more than three months of testimony in Balwani’s trial, largely a reflection of Holmes’ final fall. Holmes and Balwani, 57, were charged in 2018 with exaggeration of Theranos’ blood test capabilities and business practices when, in fact, the product was not working and its business was in trouble. Two pleaded not guilty. Holmes was convicted on four of 11 counts.
The trial of Balwani, also known as Sunny, failed to protest Holmes’s notorious case. However, it serves as a coda towards a declining era of early growth growth that is often based on hype and hyperbole. Holmes and Balwani were among a handful of technology executives charged with conspiracy to commit felony criminal mischief. Fraud.
As Holmes tried to blame others for the deception at Theranos, Balwani pointed her finger back at her. Throughout the trial, his lawyer argued that Theranos’ multiple blood tests were effective. And they say Holmes controls Theranos, not Balwani. They are set to begin their closing debate later Tuesday.
Holmes, now 38, met Balwani when she was 18. They began dating several years later, after Holmes founded Theranos. In 2009, Balwani invested in Theranos and became its chief operating officer, eventually acquiring Charge its laboratory. The couple kept their relationship a secret and lived together in a co-owned house in Atherton, California.
In 2016, after Theranos was set on fire for lying about his ability to test blood, Balwani left the company and shared it with Holmes. The two were charged with fraud, but Holmes argued in a lawsuit. To try and convict Balwani on charges of emotional and sexual harassment. Her trial included a thrilling testimony that recounts the allegations. The subject was excluded from Balwani’s trial.
To convict Balwani, prosecutors have to persuade jurors that he intended to lie to investors and patients about Theranos’ blood tests and business operations.
Prosecutors have tried to blame Balwani for the financial speculation that Theranos presented to investors and the condition of its lab. New witnesses include investors and executives who acted directly on Balwani, rather than Holmes.
An estimate, presented to investors in October 2014, shows that Theranos will bring in $ 140 million in revenue that year. In fact, income is limited. Next year, Balwani estimates nearly $ 1 billion in field revenue for investors. Capital. The internal projections of Theranos are very low, the proof, and the reality is close to zero.
An eyewitness, Patrick Mendenhall, who dealt with Balwani directly while investing in Theranos, described the breach of contract as “misunderstood or incorrect”.
Brian Grossman, an investor in the hedge fund PFM Health Sciences, who witnessed Holmes’s trial, testified that Balwani gave his team’s financial projections that exceeded Theranos’ expected earnings.
“When Mr. Balwani communicates with investors, it is one purpose, and the purpose is to deceive them to get money,” Schenk said.
Prosecutors also highlighted Balwani’s role in running Theranos laboratory, which the administration called a “disaster zone” in a 2014 statement used as evidence. Mr Balwani would also “eliminate resentment” by threatening or dismissing staff expressing concern about the Theranos test, such as Dr. Adam Rosendorff, a former laboratory director who witnessed both trials, Schenk said.
Notable speeches were made by James Mattis, former Secretary of Defense and member of the Theranos Board, and Holmes, who both testified in Holmes’ trial. Mr Balwani did not testify in his own defense.
If convicted, Balwani and Holmes will be sentenced together in September.