The claim
Theranos’s device could run comprehensive medical test panels from a single finger-prick, was deployed by the U.S. military, and had major pharmaceutical partnerships.
Made in: Investor presentations, media interviews, and board materials
The proof
Trial evidence showed the device could run only a handful of tests, most samples ran on conventional machines bought from other companies, and the claimed partnerships and military deployments were false. In January 2022 a federal jury convicted Holmes on four counts of defrauding investors; she was sentenced to 135 months in prison.
The record
United States v. Holmes & Balwani — U.S. District Court for the Northern District of California · No. 5:18-cr-00258-EJD
Outcome: Convicted on four counts of wire fraud and conspiracy (January 3, 2022); sentenced to 135 months (November 2022)
A jury or judge found fraud or false statements proven beyond a reasonable doubt at trial.
Her co-CEO Ramesh “Sunny” Balwani was separately convicted on twelve counts. Holmes began serving her sentence in May 2023.