News

Appellate court rejects Elizabeth Holmes' motion to stay out of prison

Federal judge to set new surrender date for convicted Theranos founder, CEO

Elizabeth Holmes, founder and CEO of Theranos, arrives at the federal courthouse with her mother, Noel Holmes, left, and her husband, Billy Evans, right, in San Jose on Oct. 1, 2021. Courtesy Harika Maddala/Bay City News.

In a one-page order issued Tuesday afternoon, May 16, the U.S. Court of Appeals for the 9th Circuit denied a motion by Theranos founder and CEO Elizabeth Holmes to stay out of prison while she appeals her conviction for wire fraud.

The court ruled that Holmes had not raised a "substantial question" regarding the conduct of her trial or shown that any trial errors were likely to result in reversal or a sentence shorter than the 11-year, three-month prison term handed down by U.S. District Judge Edward Davila.

In January 2022, a jury convicted Holmes of misleading and defrauding investors about the capabilities of Palo Alto-based Theranos' blood-testing technology. Davila had ordered Holmes to surrender to federal prison authorities on April 27 of this year, but that order was automatically suspended while the higher court decided whether to grant the bail request.

It will be up to Davila to set a new surrender date for Holmes now that her request has been denied. Holmes' appeal, per the 9th Circuit's order, will continue on its original schedule and will likely take several months or a year to be resolved.

Holmes' attorneys filed a motion Wednesday, May 17, asking a federal judge to set May 30 as the date on which she will have to surrender to federal prison authorities.

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The motion, which is not opposed by federal prosecutors, cites Holmes' need to "make preparations," including "medical and child-care arrangements in anticipation of beginning her 135-month sentence."

Davila previously gave Holmes' co-conspirator and former lover Ramesh "Sunny" Balwani two weeks to get ready for prison after the 9th Circuit similarly rejected his bail request.

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Appellate court rejects Elizabeth Holmes' motion to stay out of prison

Federal judge to set new surrender date for convicted Theranos founder, CEO

by Susan Nash / Bay City News Service

Uploaded: Wed, May 17, 2023, 9:02 am
Updated: Wed, May 17, 2023, 11:56 am

In a one-page order issued Tuesday afternoon, May 16, the U.S. Court of Appeals for the 9th Circuit denied a motion by Theranos founder and CEO Elizabeth Holmes to stay out of prison while she appeals her conviction for wire fraud.

The court ruled that Holmes had not raised a "substantial question" regarding the conduct of her trial or shown that any trial errors were likely to result in reversal or a sentence shorter than the 11-year, three-month prison term handed down by U.S. District Judge Edward Davila.

In January 2022, a jury convicted Holmes of misleading and defrauding investors about the capabilities of Palo Alto-based Theranos' blood-testing technology. Davila had ordered Holmes to surrender to federal prison authorities on April 27 of this year, but that order was automatically suspended while the higher court decided whether to grant the bail request.

It will be up to Davila to set a new surrender date for Holmes now that her request has been denied. Holmes' appeal, per the 9th Circuit's order, will continue on its original schedule and will likely take several months or a year to be resolved.

Holmes' attorneys filed a motion Wednesday, May 17, asking a federal judge to set May 30 as the date on which she will have to surrender to federal prison authorities.

The motion, which is not opposed by federal prosecutors, cites Holmes' need to "make preparations," including "medical and child-care arrangements in anticipation of beginning her 135-month sentence."

Davila previously gave Holmes' co-conspirator and former lover Ramesh "Sunny" Balwani two weeks to get ready for prison after the 9th Circuit similarly rejected his bail request.

Comments

MyFeelz
Registered user
another community
on May 17, 2023 at 3:07 pm
MyFeelz, another community
Registered user
on May 17, 2023 at 3:07 pm

Two weeks to set the wheels in motion for child care? She does have a husband, does she not? Or was that just for show, too?


MM
Registered user
another community
on May 17, 2023 at 3:22 pm
MM, another community
Registered user
on May 17, 2023 at 3:22 pm

Now Holmes has two weeks to stage an "emotional breakdown" or a "suicide attempt" and then get herself checked into a psychiatric hospital.

Why hasn't Holmes been immediately remanded into custody?


Online Name
Registered user
Embarcadero Oaks/Leland
on May 17, 2023 at 4:09 pm
Online Name, Embarcadero Oaks/Leland
Registered user
on May 17, 2023 at 4:09 pm

Can she get pregnant in 2 weeks?

Also note they have to pay $452,000,000 and are pleading poverty because they're "penniless after paying for all their lawyers." Still curious how much she paid her tireless pr firm(s).


Annette
Registered user
College Terrace
on May 17, 2023 at 6:37 pm
Annette, College Terrace
Registered user
on May 17, 2023 at 6:37 pm

Holmes, Bankman-Fried, Trump, Santos, Justice Thomas. Is there any end to the nonsense?


MyFeelz
Registered user
another community
on May 17, 2023 at 7:39 pm
MyFeelz, another community
Registered user
on May 17, 2023 at 7:39 pm

@Online Name, not only can she get pregnant in two weeks, but she can get pregnant AFTER being incarcerated. Unwanted babies created while confined go straight into the foster care system, or custody is granted to a woman they will call mommy and have no idea it's really grandma.


JR
Registered user
Palo Verde
on May 17, 2023 at 8:38 pm
JR, Palo Verde
Registered user
on May 17, 2023 at 8:38 pm

In my opinion, the Elizabeth Holmes trial and conviction is a sham. It is not and should not be a crime to raise money and then fail on your business plan for various reasons. It is not and should not be a crime to exaggerate and paint a rosy picture about the capabilities of your product - that is called marketing.

I have studied this case intensely and in my opinion Elizabeth Holmes is going to jail because her wealthy and powerful investors did not appreciate the return on their (poor) investment. They knew the business was risky, they made the investment anyway. The business turned out to be poor, rather than self-reflection they went after Elizabeth for blood (pun intended).

Now Elizabeth has been sentenced to 11 years in prison for being a regular tech CEO, nothing she did was out of the ordinary for a startup CEO - actually it was out of the ordinary in one way, she was a female founder. In my opinion this is reaching political prisoner-type injustice and I (along with hundreds of others) will be lobbying for a full presidential pardon, this injustice should not stand in the United States of America.


Retired PAUSD Teacher
Registered user
another community
on May 18, 2023 at 7:40 am
Retired PAUSD Teacher, another community
Registered user
on May 18, 2023 at 7:40 am

@JR

So either Holmes is innocent, or tech CEO's are all criminals? Says something about the morality of Silicon Valley.

The "girl next door" mystique did not fooling many, other than her jilted investors. Didn't fool a jury or several judges. I hope she has to ride this out in prison with some "real criminals" who maybe robbed a liquor store or stole a car. It will be a good education for her. Might even put her in better touch with the real world. Plus she can sharpen her marketing skills, selling her fellow inmates on why she should get special treatment in the cafeteria and prison yard.


Bob Carlton
Registered user
Downtown North
on May 18, 2023 at 7:47 am
Bob Carlton, Downtown North
Registered user
on May 18, 2023 at 7:47 am

@JR...seriously? Or are you just pulling our chain for a reaction?


eileen
Registered user
College Terrace
on May 18, 2023 at 9:04 am
eileen , College Terrace
Registered user
on May 18, 2023 at 9:04 am

JR, You are the first person on this thread that I completely agree with!
Elizabeth, a female, is the sacrificial lamb for the tech industry while other CEOs go about their business scamming the public. Oh and don't forget the failed bank executives that will keep their bonuses!


Jason Tate
Registered user
Stanford
on May 18, 2023 at 9:22 am
Jason Tate, Stanford
Registered user
on May 18, 2023 at 9:22 am

@JR & Eileen
In the business world, product performance and sales of the product is all that matters. No more, no less.

It has nothing to do with gender bias...just ask Cathie Wood of ARK whose supposedly inherent ability to pick profitable stocks has vaporized and the former VP of Marketing at Budweiser who created a very controversial advertising campaign which resulted in a 17% drop in sales of Bud Light.


Online Name
Registered user
Embarcadero Oaks/Leland
on May 18, 2023 at 12:21 pm
Online Name, Embarcadero Oaks/Leland
Registered user
on May 18, 2023 at 12:21 pm

When a Walgreens clerk warned Holmes that her erroneous test results could harm and/or even kill people, she responded "Pretty people don't go to jail."

That's not "marketing"; that's depraved indifference regardless of the speaker's gender.


Retired PAUSD Teacher
Registered user
another community
on May 19, 2023 at 9:01 am
Retired PAUSD Teacher, another community
Registered user
on May 19, 2023 at 9:01 am

93% of the U.S. prison population is male. Men commit more crimes by far, and apparently pay the price.

Should a convicted con artist (conspiracy to commit fraud on investors) be given leniency because she did her deeds in a male dominated field?

Also, there is a difference between marketing products like social media, smart phones, cars, or beer, and that of medical devices. Average folks know that social media is not all it is made out to be by companies like Facebook or TikTok. Most also know the true benefits and costs of their smartphones (privacy issues excluded), and I don't see many people trying to drive their Range Rovers as depicted in the ads. Once, I opened a can of Coors Light on my front porch and waited for the street party to erupt. Nothing happened as expected.

But when it comes to medical devices, there is an inherent trust and hopefully a higher standard. Normal people don't deal with these devices daily and are usually in the dark about the features and technology. I can test drive a car or smart phone. I can't really do that with blood testing devices, so much more faith must be placed with the manufacturer and or marketer.

Holmes clearly broke that faith in potentially dangerous ways and tried to cover it with lies. Sounds criminal to me. Business as usual in Silicon Valley? If so, how unfortunate. But a buck is a buck, right?


ALB
Registered user
College Terrace
on May 19, 2023 at 10:36 am
ALB, College Terrace
Registered user
on May 19, 2023 at 10:36 am

I agree one hundred percent with Online Name. Holmes pushed her product knowing the technology would give false readings. Holmes was indifferent to patients’ health outcomes. The numbers count in blood work. Diabetics and cancer patients need accurate evaluation of their blood. Theranos technology was dangerous to patients’ health.

She charmed old famous men on the board with her blond looks and blue-eyed hypnotic gaze. Not one board member was a doctor. She engaged personnel to stalk those who disagreed with her including Tyler Schultz.

Her pathology contributed to the shattering of the Schultz family where George Schultz shunned his grandson. Tyler tried to warn his grandfather about the unscrupulous Holmes only to be sent into the wilderness. Now Elizabeth Holmes will go to prison. The saga goes on. Sadly she thought by having children she could USE them to garner sympathy. These small babes would prevent her from having to serve time in her narcissistic view.

I hope Invicta will change her name when she can. Narcissists see their children as an extention of themselves like an appendage. This daughter deserves to be her own person and not branded by her mother’s selfish folly.

Holmes thought her technology was going to be revolutionary like that of Steve Jobs. She modeled his style by wearing the black shirt. She wanted to be famous and uber wealthy. She got the former but not in the way that she envisioned.


Retired PAUSD Teacher
Registered user
another community
on May 19, 2023 at 12:03 pm
Retired PAUSD Teacher, another community
Registered user
on May 19, 2023 at 12:03 pm

Two or three years from now most folks will forget the name Elizabeth Holmes. If she behaves well behind bars, maybe she can get her sentenced reduced. Early parole possibly? Time to do some relationship building of a different kind Ms. Holmes.


Online Name
Registered user
Embarcadero Oaks/Leland
on May 19, 2023 at 12:56 pm
Online Name, Embarcadero Oaks/Leland
Registered user
on May 19, 2023 at 12:56 pm

According to what's been written so far, she's not eligible for parole until 9.5 years into her sentence.

Re remembering her name, do the names Ken Lay and Jeff Skilling ring any bells?


MyFeelz
Registered user
another community
on May 19, 2023 at 8:53 pm
MyFeelz, another community
Registered user
on May 19, 2023 at 8:53 pm

Martha Stewart: Anybody remember that name?

She was pwned, and thrown into the shark tank. Arrested, and did time for things men do every day.

She taught her fellow inmates arts and crafts. Club Fed, admittedly. And her reputation has not dimmed at all, after her release. She has come full circle and used her time in prison as a learning tool.

Somehow I don't think Holmes will be able to rehabilitate herself, because she doesn't really have a self. I feel sorry for her kids. They are the real losers in this whole fiasco of her attempt to be something she isn't.


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