CA - Elizabeth Holmes (Theranos) Wire Fraud Thread *Guilty* #2

[Howl]

George Schultz was in his 90s when he was on the board of Theranos and has subsequently passed away.
Kissinger is 100 this year, so in his late 80s to mid 90s while on the board. (estimates for both, I'm terrible at math)

Relative to these guys, Mattis is young. He resigned from the board when he became Secretary of Defense, but lost the money he'd invested in Theranos.

From a NYT article about Mattis' testimony at EH's trial: James Mattis, a Theranos board member, 'didn't know what to believe,' he says in Elizabeth Homes trial: "Mr. Mattis said he had pushed the military to do a test program of Theranos analyzers to see how they performed alongside its existing systems before joining the board. “I wanted a comparative study on Theranos from Day 1 so we could bring it online,” he said. But no test materialized."

Another example about the extent to which EH completely controlled the fraudulent narrative and blatantly lied to convince investors and the board that everything was on track. None of those pharmaceutical companies could have validated the start-up's machines because they didn't work:

"Mr. Mattis said Ms. Holmes had been his primary source of information about Theranos and its technology. Prosecutors showed a presentation she had made to the board that said 10 of the 15 largest pharmaceutical companies had validated the start-up’s machines, alongside endorsements from researchers at Johns Hopkins University and the logos of the Food and Drug Administration and the World Health Organization.

Such presentations gave Mr. Mattis confidence in Theranos’s technology, he said, because “it wasn’t just Elizabeth talking about it.”

When he asked EH why she wanted him on the board since he had no expertise in any medical testing area, EH told him she wanted his leadership skills.

 

[Herat]

I know the Cleveland Clinic had offered to review the Edison and Theranos testing later in the story of Theranos. There were some announcements made by Cleveland Clinic Laboratories, but suddenly and without explanation, the project never materialized.

The WHO endorsement is a blatant lie.

 

[scapa]

I’m sure I’m not the only confessed coward that hears “less needles” as music to their ears and I’d bet that it helped to sell shares too.

You are not -- far from it.

Particularly in the last few years during and now post-Covid epidemic we have frequently had to follow up with patients at our practices who find it very difficult to navigate not just the needle but the logistics period of mass-testing labs that cycle patients through day in and out and as businesses first (and often with local monopoly positions) don't see a value in humanizing the experience further.

Give many or even most patients a choice between travelling to a blood lab to queue for an hour among 20 - 50 others, walk into a booth and undergo a 3 or 4-vial phleb by a gamut of excellent to inexperienced techs and then wait for days to weeks to longer depending on the sample route --

Or pop into your local pharmacy, have a simple prick where (importantly for many) no blood draw is visible and go about your day.

There is an enormous appetite for simpler, less invasive, more efficient and more accurate blood draws, especially within the communities for whom they are almost a part of daily life.

Theranos succeeded in identifying a problem. Then they lied repeatedly and odiously about the solution because they were chasing the kudos over the actual results. They were salespeople, not engineers; and eventually they weren't even salespeople but flat-out scammers. And their betrayal has had real and ongoing costs.

I will say that in my very occasional discussions about this case with various med colleagues no one is surprised it didn't work, and quite a few wish it had.

 

[RickshawFan]

You mean she might learn how to run an honest, successful business??? Glad that she's going to prison in Texas and not in my town.

I don't think so. She's a person who LOVES shortcuts. That's a prelude to fraud if you're in a business.

 

[RickshawFan]

The Theranos model was essentially microsampling. That is instead of taking a 10 ml tube of blood drawn from a free-flowing vein, take a sample 1/100th of that size via fingerstick. Then dilute it in the analysis and extrapolate the results from the hyperdilute specimen.

This is not a new concept at all. The problem is that the statistical error is huge in a tiny sample and the draw conditions make one drop of a fingerstick not the same as one drop of venous drawn blood due to dilution by tissue juices from the tiny fingerstick, squeezing or heating the finger. Many scientists have worked on microsampling and hyperdilution for a long time due to the obvious benefits in being able to use a tiny sample.

She could get away with it for some analytes that are quite stable, but not for all on a standard chemistry panel or complete blood count.

And hyperdilution just magnifies any error in the sample that is there.

It's surprising that her very prestigious board of directors and technical advisors were just figureheads and had no practical experience in clinical laboratory practice. Nor did they require her laboratories to comply with the current laboratory licensing bodies and established federal regulations ( CLIA, CAP, JCHO, AACC).

It's also a sign of utter greed that her board was largely chosen from retired military and prestigious legislators who were very willing to put her instruments out in the field for the US Armed forces, without assuring they actually produced valid results. Again, their greed was showing.

She was a complete fraud, a liar, and when confronted by experts in laboratory medicine, sought to subvert established regulations and policies that were in place for accuracy of results and the safety of patients and the physicians who treat them.

What gets me is that a lot of this is common sense. It's just that Schultz and his crew were infatuated.
Common sense tells me:
--you can't do a gazillion tests on the same drop of blood; if I was looking at this as a layperson, it would seem obvious that a lot of tests need a lot of drops. I might be wrong, but I'd have a hard time getting convinced otherwise.
--because a finger prick is "surface", there is a higher likelihood of contamination, because of the ratio of skin cells and other contaminants to product.
--finger pricks hurt like heck; the whole "painless" premise of Theranos seems quite ludicrous.
--the current requirement for using "full tubes" of blood is not a conspiracy as EH would have her audiences believe; it's what's possible at the moment. If more were possible, it would have happened. Didn't need a dropout, let alone in a health field that would require substantial science training and experience.
--the blood testing process is not frozen in time, as EH would have audiences believe; protocols have evolved substantially in my lifetime.
--diluting one drop of blood in order to run tests massively increases the likelihood of failure: the more stuff you add to the sample, the greater the likelihood of contamination being a factor in the results. And if you're only working with a drop, you've got a lot of opportunities for contamination.


And then, there are features of the EH "story" that are common in certain circles, but have been magically marketed as signs of genius. As an example: going on Stanford's China program as a high schooler. Among US elite students, this is not rare at all: if you're bright, it's a simple enrichment route (of which several are needed to keep you from getting bored out of your skull in US education systems, in my experience). There's certainly no age-advantage in language acquisition between college and high school students (it might actually be reverse). Second example: facility in a second language. Among students at elite universities, this is mandatory. Maybe one tenth of the student body at my college lived in the language dorm: each floor spoke a different language, and it was 24/7 immersion. And those were just the students who were fluent (some in multiple languages).
IMO EH got to Stanford and found out she was ordinary and couldn't hack the consequences, so she dropped out and turned herself into a myth.

 

[worm]

@RichshawFan, all well made points. I guess since we live in an era when big tech breakthroughs happen, her pitch was more acceptable even to seasoned investors.

 

[LinasK]

@RichshawFan, all well made points. I guess since we live in an era when big tech breakthroughs happen, her pitch was more acceptable even to seasoned investors.

Finger pricks do hurt like heck!!! I had Gestational Diabetes and had to do finger pricks. I'll take venous draws anyday over a finger prick. And I think these old guys were mesmerized by Holmes looks and voice.

 

[Cool Cats]

I think it is more likely Holmes will end up near her husband and kids because the BOP tries to incarcerate inmates within 500 miles of their homes.

But we will see. A judge's suggestion is just that, only a recommendation, the BOP decides.

MSN

Judge Davila recommended Holmes be sent to Federal Prison Camp, Bryan, a minimum security women’s facility about 100 miles north of Houston.

Satellite View of Federal Prison Camp (FPC) - Bryan

What does an average day look like?​

Housing: Inmates are housed in both open dormitories and rooms which house four to ten inmates each.
Recreation Services: Leisure activities at FPC Bryan include organized and informal games, sports, physical fitness, table games, hobby crafts, music programs, intramural activities, social and cultural organizations, and movies. Art and hobby craft programs, wellness programs and other recreation programs are also available.

Wake-up is at 6 a.m. every day, according to FPC Bryan’s “Inmate Admission & Orientation Handbook,” and all inmates must be counted at least five times daily in official roll calls. Inmates must make their beds and clean up their cells; the unit with the best weekly “sanitation rating” gets called first for meals, while the unit with the worst hygiene comes in last.

All inmates who are able must have a “regular job assignment.” The prison offers business classes and even forklift training for women who would like to be certified.

The commissary at FPC Bryan is relatively luxurious compared with other prisons. The women there can purchase hobby items to pass the time, like a crochet needle for $1.30 and yarn for $3.55; an MP3 player (brand not specified) is $88.40. If they're sick of being eaten alive by the bugs in Texas, they can buy insect repellant for $10.35, and those who want some variety from the usual prison fare can get ramen for 30 cents and a pint of ice cream for $2.

The commissary does not offer black turtlenecks, but Holmes could pick up a neck gaiter in a pinch for $10.55.

Federal Prison Camp, Bryan - Inmate Locator

FPC Bryan is a federal prison in Bryan, TX. Get discount calls, visiting info, send magazines & selfies

www.inmateaid.com

 

[Howl]

I think it is more likely Holmes will end up near her husband and kids because the BOP tries to incarcerate inmates within 500 miles of their homes.

Will she find out where she will be incarcerated when she turns herself in on May 30?

 

[Cool Cats]

Will she find out where she will be incarcerated when she turns herself in on May 30?

She will be told what facility to report to. Usually when a person reports to a Federal Prison like that - out on bail minimum security - they report to the prison where they will be staying. She will know where to report and most likely it will be her first placement.

I say first because with such a ridiculously long sentence there is a good possibility she will be moved to another prison years down the road.

 

[LinasK]

Elizabeth Holmes’ new prison worry: Being secretly photographed in custody

If photos of reality TV star Jen Shah can leak out from a federal prison, it’s easy to imagine the efforts made to snap surreptitious photos of Elizabeth Holmes after she surrenders on May 30…

www.mercurynews.com

 

[cujenn81]

Elizabeth Holmes’ new prison worry: Being secretly photographed in custody

If photos of reality TV star Jen Shah can leak out from a federal prison, it’s easy to imagine the efforts made to snap surreptitious photos of Elizabeth Holmes after she surrenders on May 30…

www.mercurynews.com

Jen Shah gets to (and WANTS to) wear gold hoop earrings in prison? I thought they confiscated your personal belongings during the intake process? Irrelevant, I know. I’m just curious!

Poor Liz is going to be just fine. She’ll live under conditions she isn’t used to and miss out on all of those precious moments mom’s cherish during early childhood, but she’ll be juuuust fine.

A woman shared a really amazing quote on the HULU Randall Scandal documentary (of all places!) She said words to the effect of…
WHEN YOU’VE ALWAYS BEEN GIVEN IMPUNITY, BEING HELD ACCOUNTABLE FEELS A LOT LIKE PERSECUTION. That’s such a true and powerful statement.

 

[Seattle1]

Like Martha Stewart, I think EH has the ability to compartmentalize her life. I also think she could have given birth in prison if necessary-- Mary Kay Letourneau comes to mind.

EH has had a lot of friends and support her entire life and it didn't end with this case. At trial, she submitted more than 100 letters of support from figures including Stanford professors, venture capital investors, and Senator Cory Booker, Democrat of New Jersey, which painted her as a virtuous person who was a victim of circumstances.

Personally, I don't even know 100 people I could turn to. And I'm not a felon!

Just read about the new graduate born to a mother in prison that's headed to Harvard this fall. Unlike Holmes, this girl was born into poverty.

I think EH and her family will adjust to the situation. They've had a good amount of time to prepare. JMO

A Texas girl, who was born in prison, will be attending Harvard after graduating third in her class. Sky Castner, 18, of Montgomery County, was born in Galveston County Jail, as her mother was incarcerated at the time of her birth. Her father would pick her up from the county jail and raised her as a single dad.

Texas girl who was born in prison is set to attend Harvard in the fall

Sky Castner, 18, of Montgomery County, was born in Galveston County Jail, as her mother was incarcerated at the time of her birth.

www.dailymail.co.uk

Elizabeth Holmes Is Sentenced to More Than 11 Years for Fraud (Published 2022)

Ms. Holmes was convicted in January of four counts of fraud for deceiving investors with claims about her blood testing start-up Theranos.

www.nytimes.com

 

[Seattle1]

5/27/23 -- Inside the Club Fed prison where Elizabeth Holmes will serve 11 years

 

[BeachSky]

Bye , byeeee …..
See yaaaa….
Serve your time you LIAR.
Narcissist convince themselves that they are the victim. They did nothing wrong. Everyone else is the problem. Next.

MOO

 

[Cool Cats]

Bye , byeeee …..
See yaaaa….
Serve your time you LIAR.
Narcissist convince themselves that they are the victim. They did nothing wrong. Everyone else is the problem. Next.

MOO

I wonder if she could have gotten a plea deal? Like 5 years instead of 11?

Be a huge difference.

I wonder if she had admitted her crimes and apologized and told the judge she would make restitution and pled guilty instead of having this huge trial, etc..., I wonder if she could have gotten some relief from her sentence?

The problem is that having all these letters sent to the judge supporting her couldn't have done much good when at the same time she insisted that she wasn't guilty. That it was all her partner's fault etc....

I personally would grovel and apologize and try to get mercy from the judge, anything to get a reduced sentence.

Going to trial gets you a longer sentence no matter how you slice it.

11 years, such a waste.

 

[worm]

With her lack of a record with violence I’d expect that she is higher on the list for an early release of some sort.

 

[Cool Cats]

With her lack of a record with violence I’d expect that she is higher on the list for an early release of some sort.

Unfortunately, in Federal prison you serve 85% of your sentence.

That is still 9 years.

She can have an attorney petition the court for early release on various grounds. And there are halfway houses when you get close to your release date. Maybe after 8 years?

Can You Get Parole in Federal Prison? - How to Justice

It depends. Only some federal inmates are can get parole. There are other ways to get early release, though.

howtojustice.org

BOP: Residential Reentry Management Centers

www.bop.gov

 

[LinasK]

Like Martha Stewart, I think EH has the ability to compartmentalize her life. I also think she could have given birth in prison if necessary-- Mary Kay Letourneau comes to mind.

EH has had a lot of friends and support her entire life and it didn't end with this case. At trial, she submitted more than 100 letters of support from figures including Stanford professors, venture capital investors, and Senator Cory Booker, Democrat of New Jersey, which painted her as a virtuous person who was a victim of circumstances.

Personally, I don't even know 100 people I could turn to. And I'm not a felon!

Just read about the new graduate born to a mother in prison that's headed to Harvard this fall. Unlike Holmes, this girl was born into poverty.

I think EH and her family will adjust to the situation. They've had a good amount of time to prepare. JMO

A Texas girl, who was born in prison, will be attending Harvard after graduating third in her class. Sky Castner, 18, of Montgomery County, was born in Galveston County Jail, as her mother was incarcerated at the time of her birth. Her father would pick her up from the county jail and raised her as a single dad.

Texas girl who was born in prison is set to attend Harvard in the fall

Sky Castner, 18, of Montgomery County, was born in Galveston County Jail, as her mother was incarcerated at the time of her birth.

www.dailymail.co.uk

Elizabeth Holmes Is Sentenced to More Than 11 Years for Fraud (Published 2022)

Ms. Holmes was convicted in January of four counts of fraud for deceiving investors with claims about her blood testing start-up Theranos.

www.nytimes.com

I don't think that Cory Booker really knows her.

 

[LinasK]

Unfortunately, in Federal prison you serve 85% of your sentence.

That is still 9 years.

She can have an attorney petition the court for early release on various grounds. And there are halfway houses when you get close to your release date. Maybe after 8 years?

Can You Get Parole in Federal Prison? - How to Justice

It depends. Only some federal inmates are can get parole. There are other ways to get early release, though.

howtojustice.org

BOP: Residential Reentry Management Centers

www.bop.gov

She ought to be doing 13 years like Balwani or more. She made people believe that they had Cancer and Miscarriages because of her faulty results and lies. That's unforgivable. Hope she enjoys her last weekend of freedom and that she's going to Texas.