Elizabeth Holmes: Theranos Founder Guilty of 4 Fraud Counts as Jury Remains 'Deadlock' on Three Counts
Theranos founder Elizabeth Holmes was found guilty on four federal fraud charges on Monday, as the jury remains "deadlocked" on three of the nearly dozen charges slammed against her over her modernized blood test.
It can be recalled that Holmes, 37 years old, initially faced 12 fraud counts, NBC News reported. However, one count was dismissed by the court earlier in her trial. The said move was a result of an error from the prosecutors.
While Elizabeth Holmes was indicted on four charges, she was then acquitted of the other four fraud charges slammed against her.
According to ABC News, Holmes was found guilty on one count of conspiracy to commit wire fraud against Theranos investors. She was also found guilty on three counts of wire fraud against patients.
Reports noted that the jury spent seven days going over the evidence and charges.
Judge Edward Davila, the one who presided Holmes' trial, is expected to serve the sentence of the Theranos founder at a later date. Officials did not specify when Holmes' sentencing will take place.
Holmes potentially faces up to 20 years of imprisonment. Aside from her jail time, she also faces fines and potential restitution to defraud her company's investors.
Elizabeth Holmes Trial: Jury 'Deadlocked" on Three Charges
Earlier on Monday, the jury tasked in Elizabeth Holmes' criminal trial said they remain unable to come up with a unanimous verdict on three of all the 11 fraud counts, CNN reported.
The jury, composed of eight men and four women, deliberated for 45 hours, but they returned a note saying that they were standstill on some of the fraud counts, specifically on three counts of fraud against investors.
In response, Judge Davila issued an "Allen Charge," which allows the jury to continue deliberating to try and reach for a verdict. However, the jury passed another note saying that they remain unable to reach a verdict on the said counts.
The notes passed by the jury were one of the three notes they sent since getting Holmes's case. The first note from the jury inquired about taking home jury instructions, which was not allowed by the judge.
The second note of the jury is about their request to replay the audio recordings of a call where Elizabeth Holmes could be heard pitching investors on the company for a new round of financing.
Meanwhile, former Securities and Exchange Commission prosecutor Gorge Demos said the jury can render a verdict on counts they are unanimous on, and the government can decide whether to retry cases on counts they are "deadlocked" on.
Elizabeth Holmes Trial: Theranos Founder Says What She Told Investors Were True
According to Federal prosecutors, Holmes intentionally conned her investors to support her product, which according to them, the Theranos founder knew was "faulty."
However, Holmes repeatedly told prosecutors that she "genuinely" believed what she told her investors was the truth.
Prosecutors also painted during the trial that Holmes' motive in committing the fraud was not to garner money but to reinforce the company she built.
"She committed these crimes because she was desperate for the company to succeed," Prosecutor John Bostic said.
Elizabeth Holmes was behind the Theranos company, which developed a modernized blood test featuring a cheap finger prick and then offered a comprehensive result for several medical issues. A report from the Wall Street journal in 2015 noted that Holmes' devices were inaccurate, prompting the downfall of her company.
This article is owned by Latin Post.
Written By: Joshua Summers
WATCH: Mixed Verdict in Trial of Elizabeth Holmes - From CNBC Television
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