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World News

King Charles’s Ascension After Loss of life of Queen Elizabeth: Updates

LONDON — No sooner had the long-awaited news broke – Queen Elizabeth II was dead – than Britain activated Operation London Bridge, the carefully choreographed funeral schedule taking the country through the rituals of honor and mourning to begin with her funeral ten days later culminate.

But the plan, with its metronomic precision, masks something far worse: a rupture in the national psyche. The Queen’s death last week at the age of 96 is a truly traumatic event, leaving many in this stoic country fearful and unattached. As they come to terms with the loss of a figure who embodied Britain, they are unsure of their nation’s identity, their economic and social well-being, or even their role in the world.

For some, it almost seems like the London Bridge is down.

Such trauma was not entirely unexpected: Elizabeth reigned for 70 years, making her the only monarch most Britons have ever known. But the fear runs deeper, say scholars and commentators, a reflection not only of the queen’s long shadow but also of the unsettled land she leaves in her wake.

From Brexit and the coronavirus pandemic to the serial scandals that recently ousted Prime Minister Boris Johnson, the end of the second Elizabeth era was a time of endless turmoil for Britain.

Recognition…James Hill for the New York Times

In just two months since Mr Johnson announced his resignation, inflation has skyrocketed, a recession looms and household energy bills have nearly doubled. Nearly lost in the global flood that followed the Queen’s death, after three days in office, new Prime Minister Liz Truss rolled out an emergency plan to limit energy prices to an estimated $100 billion.

“It all feeds a sense of uncertainty and insecurity that has been there because of Brexit and then Covid and now with a new prime minister who is very inexperienced,” said Timothy Garton Ash, Professor of European Studies at Oxford University. The queen, he said, is the stone, “and then the stone is removed.”

Not just the rock, but the rhythm of everyday British life: her image is printed on pound notes and postage stamps, her royal monogram – ER for Elizabeth Regina – is emblazoned on flags and red post boxes across the country.

At the formal proclamation of her son Charles as King on Saturday, the void left by the Queen was palpable. Her empty throne, initialed ER, loomed before an assembly of the new monarch; his heir, Prince William; the Archbishop of Canterbury; and the Prime Minister and her six living predecessors.

For older Britons in particular, the loss is “deep and personal and almost familial,” Mr Johnson said, paying tribute to the Queen in Parliament on Friday, four days after she accepted his resignation in one of her final acts.

“Perhaps part of it is that it has always been there, an unchanging human reference point in British life,” he said. “The person who appears most often in our dreams according to all the polls. So unchanging in her North Star charisma that we may have lulled ourselves into thinking that in a way she might be eternal.”

Recognition…Andrew Testa for the New York Times

Beyond the Queen’s permanence, said Mr Johnson and others, was her immense global prestige. It was a living connection to World War II, after which Winston Churchill helped draw the map of the post-war world while sitting around a conference table in Yalta with Franklin D. Roosevelt and Joseph Stalin.

Mr. Johnson and Ms. Truss have reverted to that role with their staunch support for Ukraine. But Britain these days is less of a major power at the center of global decision-making and more of a mid-size cheering from the sidelines. It is fitting that Churchill, in 1965, was the last Briton to receive a state funeral – before that of the Queen, which was scheduled for September 19 at Westminster Abbey.

“My personal reflection is that there will probably never be an occasion where another British personality is so mourned around the world,” said Professor Garton Ash of Oxford. “It’s a final moment of British greatness in a way.”

For all her displays of power, the queen did not project her influence through political or military power, but through an abiding duty to the country. Her military service and dignified administration contrasted with Britain’s often unruly policies, not to mention the foreign strongmen she sometimes had to entertain.

Some said she was a pioneer in practicing what later became known as “soft power.”

“I cannot lead you into battle,” said the Queen in 1957. “I do not give you laws or administer justice, but I can do something else. I can give you my heart and devotion to these ancient islands and to all the peoples of our Brotherhood of Nations.”

Recognition…Andrew Testa for the New York Times

In the parks and squares around Buckingham Palace, where crowds gathered on Saturday, their loss was spoken of on a political and personal level. “She meant reliability and stability,” said Kate Nattrass, 59, a healthcare recruiter from Christchurch, New Zealand, a member of the British Commonwealth.

But the Queen did so at the cost of great personal sacrifice. “In many ways, she was a woman stripped of her ability to be herself,” Ms Nattrass said. “That’s probably why she missed a lot of her own family.”

Callum Taylor, 27, an actor from the north west English city of Preston, traveled to London to leave yellow roses on the palace gates. He said he heard yellow was one of Elizabeth’s favorite colors. Mr Taylor admitted he wasn’t sure of his information but added: “I think we all felt like we knew her.”

While the Queen has long been revered – the swelling crowds at her platinum anniversary celebrations in June were a testament to her enduring popularity – her post-Brexit role has arguably become even more important.

With Britain no longer part of the European Union, the country’s pro-Brexit government resorted to symbols of its imperial past, ordering that the Union Jack be regularly hoisted from public buildings and pushing projects like a new royal yacht (neither King Charles III Ms. Truss seems particularly interested).

Recognition…Pool photo by WPA

Respect for the Queen has masked the cracks that have widened in the UK since Brexit. Scotland and Northern Ireland each now have significant sections of the population favoring separation from the kingdom, and it’s not clear if King Charles will give them a more compelling reason to stay.

In Scotland, where the Queen died at her beloved Balmoral Castle, a 2014 independence referendum was defeated by 55 to 44 percent of the vote. The Scottish National Party, which controls the country’s parliament, is determined to hold another vote.

Many in Ireland still remember the Queen’s landmark visit in 2011, when she charmed the public and spoke candidly about Britain’s strained relationship with its neighbour. “From a historical perspective,” she said, “we can all see things that we wish had been done differently or not at all.”

In Northern Ireland, on the other hand, the Irish nationalist party Sinn Fein became the largest party after the May elections. Sinn Fein is also within striking distance of becoming the largest party in the Irish Republic, a milestone that could accelerate their quest for Irish unity.

Dealing with the recalcitrant stay-at-home northern union parties is a headache for the British government. Ms Truss is following Mr Johnson’s lead in threatening to overturn post-Brexit trade deals in Northern Ireland, which are part of his exit deal with the European Union.

Recognition…James Hill for the New York Times

Centrifugal forces are even greater in outlying British dominions such as Jamaica, the Bahamas and St. Lucia, where the predominantly black population is demanding a reckoning with the racist legacy of British colonialism. Barbados will sack the Queen as head of state in 2021, and Jamaica could soon follow.

On a trouble-prone trip through the Caribbean last March, Prince William and his wife Catherine faced demands for slavery reparations and demanded that they confess that Britain’s economy “was built on the backs of our ancestors”.

Vernon Bogdanor, an authority on constitutional monarchy at King’s College London, said Charles was a departure from other royals as he sought to appeal to those on the fringes of society. He cited Charles’ visits to Tottenham, north London, following riots following a police shooting in 2011.

Partly for this reason, Professor Bogdanor said that the new king could surprise those who are skeptical of his ability to replace his mother. Still, he acknowledged a surprisingly deep sense of loss at the Queen’s death.

“I feel more affected than I thought,” he said. “It’s not unexpected when someone dies at 96. The only explanation I can think of is that people instinctively felt how much she cared about the country.”

Recognition…Andrew Testa for the New York Times

Saskia Solomon contributed to the coverage.

Categories
Health

Choose might unseal some psychological well being data in Elizabeth Holmes case

Former Theranos CEO Elizabeth Holmes (center) and her lawyer are leaving the court on June 15, 2021. Holmes is due to stand trial later this year on wire fraud and other charges.

CNBC

The federal judge in the fraud case of former Theranos CEO Elizabeth Holmes is considering unsealing details of her psychological assessment as part of a media request to make parts of her case public.

Dow Jones & Co., publisher of the Wall Street Journal, petitioned the court to unseal documents in the Holmes case. Dow Jones attorneys said that around 40% of the documents in Holmes’ case are kept under lock and key.

“This is a very significant amount of material, as the court is painfully aware,” said John Cline, a Holmes attorney, during the hearing on Tuesday. “And Ms. Holmes’ view is that a significant portion of it can likely be unsealed at this point, but not all of it.”

The federal prosecutors support the motion to unseal parts of the case, stating that Holmes must be prepared if they are planning a mental health defense.

“The main thing we are dealing with is the continued sealing at the current level, including high-level issues including the defense of Ms. Holmes under Rule 12.2, and that hinders the preparation of the process by the government,” said Kelly Volkar, an assistant US attorney. Indication of a psychological defense. “The question is how far the seal will go.”

Prosecutors had Holmes examined by a psychological expert after defense lawyers announced that they were planning to hire a clinical psychologist to testify about a “mental illness or defect” related to the guilt issue.

Another set of documents that can potentially be unsealed is why Judge Edward Davila separated the trials of Holmes and her co-defendant Ramesh “Sunny” Balwani. Balwani was her business partner and served as COO at Theranos. The couple had a romantic relationship but never revealed it to their investors.

Holmes and Balwani’s relationship reportedly ended around the same time he left Theranos.

“I will reiterate that Mr. Balwani has never requested that any part of these trial files be filed under lock and key,” said Jeffrey Coopersmith, a Balwani attorney. “Dow Jones has had a sealed filing notification for a year and a half. You are filing this now. I think we understand why, they like to sell newspapers. It is on the eve of the trial of Ms. Holmes.”

Holmes and Balwani both face a dozen criminal wire fraud and conspiracies to bring wire fraud charges. Prosecutors say the two misled patients, doctors and investors about Theranos’ blood testing technology. Neither of them pleaded guilty.

In a July interview with CNBC, former Wall Street Journal reporter who exposed the Theranos scandal, John Carreyrou, said Holmes’ defense strategy may be blamed on her ex-boyfriend.

“A large part of her defense now seems to be blaming Sunny, basically telling the jury that Sunny kept her in his psychological grip,” said Carreyrou. “Your defense plans to take on the case that he was the older friend, 19 years older, who was really the puppeteer here, and she was the puppet. And obviously they’re going to see a psychologist to sort this out.”

Davila ordered Holmes and Balwani’s lawyers to look into which documents could be unsealed and redacted by the end of the week.

Categories
Politics

Elizabeth Warren presses Janet Yellen to deal with crypto market threats

Senator Elizabeth Warren, D-Mass., Holds a press conference outside of the Capitol on Tuesday, April 27, 2021 to reinstate the Universal Childcare and Early Education Act.

Tom Williams | CQ Roll Call, Inc. | Getty Images

Senator Elizabeth Warren called on Treasury Secretary Janet Yellen Tuesday to identify and address cryptocurrency risks and create a “comprehensive and coordinated” framework through which federal agencies can continuously regulate virtual coins.

Warren, a member of the Senate Banking Committee and longtime critic of the country’s largest banks, urged the Treasury Secretary to use her powers on the Financial Stability Oversight Council to create a more secure crypto market.

“The FSOC must act quickly to use its legal powers to address the risks of cryptocurrencies and regulate the market to ensure the safety and stability of consumers and our financial system,” the Massachusetts Democrat wrote in a letter to Yellen .

“As the demand for cryptocurrencies continues to grow and these assets become more embedded in our financial system, consumers, the environment and our financial system are exposed to increasing threats,” she added.

Warren named five risks posed by an under-regulated crypto market. In her words it is:

  • Exposure to hedge funds and other investment vehicles with no transparency
  • Risks for banks
  • Unique threats from stablecoins
  • Used in cyber attacks that can disrupt the financial system
  • Risks from decentralized financing

A Treasury Department spokesman did not immediately respond to CNBC’s request for comment.

Warren’s letter also came as she and other lawmakers held a hearing on the Senate Banking Committee entitled “Cryptocurrencies: What Are They Good For?”

Senators will grill Coin Center Executive Director Jerry Brito, Filecoin Foundation Chair Marta Belcher, and Angela Walch, a research fellow at University College London’s Center for Blockchain Technologies, during Tuesday’s hearing.

CNBC policy

Read more about CNBC’s political coverage:

“Cryptocurrencies and other digital assets present significant risks right now, and the risks they pose are increasing as they permeate the traditional financial system and more and more people are investing,” Walch told lawmakers in a written statement. Her Twitter bio advises readers “not to own crypto”.

Warren’s letter is the latest in a series of calls from Capitol Hill for tighter market regulation.

Perhaps the most prominent example came in February when lawmakers on both sides of the political aisle pecked executives at brokerage firm Robinhood, social media website Reddit, market maker Citadel Securities, and video game retailer GameStop about “gamifying” stock trading.

However, regulating crypto markets has proven to be a more difficult task given the sheer number of different assets as well as the novelty of the technology behind digital currencies. To date, it is unclear which body – the FSOC, the Securities and Exchange Commission, or Congress itself – will ultimately be responsible for the day-to-day oversight of crypto trading.

That’s probably why Warren addressed her letter to Yellen in her role at FSOC.

Established after the 2008 financial crisis, the FSOC is headed by the Treasury Secretary and brings together 10 state financial regulators, including the Federal Reserve, the Securities and Exchange Commission, and the Commodities Future Trading Commission.

The council’s role is to identify risks to the financial industry and coordinate a regulatory response between cabinet departments and other agencies, as no single regulator is responsible for overseeing and addressing global risks to financial stability.

The SEC, under the new leadership of Chairman Gary Gensler, is currently considering approving exchange-traded funds that track Bitcoin’s performance. Many investors say that given the recent rally in Bitcoin and the extensive amount of futures and other derivatives trading in the space, the decision cannot come soon enough.

So far, Gensler has said investor protection should apply to crypto exchanges, and the Federal Reserve is considering issuing central bank digital currency.

Republicans on the Senate Banking Committee, including ranking member Pat Toomey of Pennsylvania and Cynthia Lummis of Wyoming, argue that Congress should better understand the potential uses of cryptocurrencies while keeping illegal activity at bay.

Toomey and Lummis are investigating the value and possible uses of so-called stablecoins or digital currencies that are linked to national currencies such as the US dollar.

“It’s important to note that people have raised legitimate issues with cryptocurrencies,” Toomey said in prepared remarks on Tuesday morning. “But we shouldn’t lose sight of the enormous potential benefits that distributed ledger technology offers.”

“We should also keep in mind that private innovation has made most of these developments possible,” he added. “We shouldn’t suppress the concepts of individual entrepreneurship and empowerment that made this innovation possible.”

– CNBC’s Stephanie Dhue contributed to this article.

Categories
Health

John Carreyrou predicts Elizabeth Holmes trial final result

The writer of “Bad Blood” has not finished telling the Theranos story.

Three years after his bestseller was published, John Carreyrou is releasing a new podcast to uncover the final chapter of former Theranos CEO Elizabeth Holmes. “Bad Blood: The Final Chapter” follows the upcoming trial against Holmes.

In an interview with CNBC, Carreyrou shared his bold predictions about her criminal fraud trial due to begin in August after several delays due to the coronavirus pandemic and her unexpected pregnancy. Despite the postponements, Carreyrou predicts Holmes will be convicted of wire fraud and said a guilty verdict in her trial will be a “big shot across the bow for Silicon Valley entrepreneurs”.

“The message will be that you can’t really do what you want, you can’t completely ignore rules and regulations. You can’t shake your nose at regulators and authorities,” Carreyrou said.

He warns that a not guilty verdict will set a dangerous precedent among startup CEOs. “Young entrepreneurs will say, ‘Look what Elizabeth Holmes got away with and she didn’t go to jail for it.'” Carreyrou adds, “In this case, it takes a guilty verdict to correct course.”

Holmes and Ramesh “Sunny” Balwani ran the now defunct start-up Theranos together as CEO and President – and at times also as girlfriend and boyfriend.

The two are facing separate criminal jury trials over allegations they lied to patients and doctors while pushing investors for hundreds of millions of dollars. Holmes and Balwani have both pleaded not guilty.

Carreyrou tells CNBC that a large part of Holmes’ defense strategy could be blaming Balwani. He predicts that Holmes will take a stand and tell the jury that Balwani “kept her in his psychological grip, that he was an abusive friend”.

CNBC reached out to Holmes and Balwani attorneys. They did not respond to calls for comment.

Holmes plans to call a psychologist who specializes in relationship trauma as a witness. Carreyrou, who has spent years reporting on Holmes and the events in Theranos, says he is not buying the defense.

“Based on all of the interviews I did for my book and other interviews I did for the podcast, it’s clear that they ran this company and allegedly committed this fraud together as a couple,” he said.

“If they couldn’t agree, she had the last word,” said Carreyrou. “That’s why I find it hard to believe that she was under his psychological grip and had no will of her own.”

Watch the video to learn more from Carreyrou about his trial predictions, new evidence he’s received, and his upcoming podcast.

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Health

Elizabeth Holmes’ attorneys involved about discovering unbiased jurors

Former Theranos CEO Elizabeth Holmes (center) and her lawyer are leaving the court on June 15, 2021. Holmes is due to stand trial later this year on wire fraud and other charges.

CNBC

Former Theranos CEO Elizabeth Holmes was given permission to breastfeed her newborn on Tuesday during the pauses in her upcoming fraud trial. Judge Edward Davila said there will be a designated “rest room” for Holmes to look after their child, who is due to be born next month.

Holmes is charged with wire fraud and wire fraud conspiracy related to her now-defunct healthcare tech start-up Theranos. She pleaded not guilty.

The Holmes trial, which has been postponed several times due to the Covid-19 pandemic and her pregnancy, will be one of the most well-known criminal fraud cases in Silicon Valley history.

The children’s shelter for Holmes came when the judge reduced their proposed 45-page jury form with 112 questions to a 20-page draft.

Kevin Downey, a Holmes attorney, objected to the judge’s simplified questionnaire, saying, “If the jury has a bias, they can’t decide that. We can’t allow the jury to assess their own bias without basic questions cure that. “

Three hundred potential jurors from Northern California will be asked to fill out a questionnaire on August 19th and 20th. The personal jury selection and voir dire (jury survey) will take place on August 31st.

The Holmes questionnaire asks potential jurors how often they read, see, or hear certain journalists and news outlets, including CNBC.

“I know the defense is primarily concerned with media coverage,” said Davila. “You are suggesting that it was derogatory to Miss Holmes and that we must do something to secure a fair jury for her – and that is what I am trying to do.”

Suggested that we put the more difficult questions first, Davila added, “There’s a concept of questionnaire fatigue. At some point, there is less questionnaire return and it actually becomes less accurate the longer it takes.”

Davila said he would not allow any prospective judges to be questioned in detail, but assured the legal teams, “If we bring the jury in on both sides, they may be surprised, perhaps delighted, that many of them won’t know about this case.” . That is a reality of life. “

Prosecutors have described Holmes’ proposed questionnaire as “unnecessarily profoundly intrusive”.

“If anyone reads any of the 46 publications or networks that the defense is trying to identify, it doesn’t tell us anything about what they know about Theranos,” said Kelly Volkar, US assistant attorney. “Even once you’ve read a story, it doesn’t necessarily mean that you kept it or retained any kind of bias or prejudice about that one article.”

When Holmes entered the courthouse, she refused to answer questions from CNBC.

The two legal teams will review the judge’s questionnaire and he will make a final decision in the coming weeks.

Danny Cevallos, a legal analyst for NBC News, said it would be difficult to find an impartial jury to hear about the case, but claims to be impartial, “This juror could be a stealth juror – someone who’s one Has an ax to grind, but hides it to get into the jury. “

Categories
Health

Elizabeth Holmes swag gross sales hovering on-line

When it comes to fame and shame, former Theranos CEO Elizabeth Holmes has apparently cornered the market.

Internet vendors cash in on mugs, t-shirts, and even shower curtains in the weeks leading up to their August criminal fraud trial.

A review of the online stores shows more than 50 offers of Holmes and Theranos items on Etsy, Poshmark, eBay and Redbubble.

One of the more unique items is an authentic Theranos lab coat, which is listed for $ 17,000.

Once a Silicon Valley darling, Holmes is faced with federal referral fraud and a conspiracy to suspect referral fraud related to allegedly misleading investors, patients, and doctors about her company’s blood testing technology.

But customers rave about their product purchases on social media.

In a TikTok, a young woman poses in a mirror with a pink t-shirt that says “Elizabeth Holmes is my #GirlBoss”.

Another TikToker shows a mug with Holmes on one side and Theranos on the other. She says, “I really wish Elizabeth Holmes had an MLM so that I could join.” An MLM is a controversial, multi-level marketing operation that the US Federal Trade Commission warns of being a pyramid scheme.

And another pulls a t-shirt out of a package and says, “Y’all it’s here. The Queen of Theranos, Elizabeth Holmes.”

A search on Instagram and Twitter also shows customers posing with their goods.

Elizabeth Holmes, Founder and CEO of Theranos.

David Orrell | CNBC

Holmes, who is pregnant and due next month, faces up to 20 years in prison if convicted. She has pleaded not guilty to the charges. Before Theranos’ demise, her image was seemingly everywhere and she even landed on the cover of Forbes.

Today, despite a tarnished image and an upcoming 13-week trial, their brand is apparently still popular.

“It doesn’t surprise me, Elizabeth Holmes was a very inspiring person,” says Mark Macias, founder of Macias PR. “She was the youngest billionaire, self-made entrepreneur, and although we found out it was supposedly a scam – she was selling something revolutionary.”

Anthony, owner of Finance Memes Etsy shop, says sales of his Holmes items have increased since February. Anthony asked CNBC not to use his last name for fear of jeopardizing his employment.

“You can see it at Wall Street Bets – people like to talk about how much they lost,” said Anthony. “There’s an obsession with cheating, gambling, and taking bad risks. Everyone loves a good bad guy.”

A mug labeled “Theranos Early Investor” is the most popular item in his Etsy shop, according to Anthony. “It’s a little more reserved, you can put it in your drawer when your boss comes over.” Anthony says he has had over 200 visits to the cup in the past few months.

“There will always be people on the fringes who want to express themselves, take on the establishment and point the finger at them,” Macias said. However, he warns, “If you want a brand that will last, it is better to be famous. Infamy is short, it can ruin and destroy a brand.”

For Holmes, every image she projects is eternal.

As MSNBC columnist James Surowiecki wrote in a recent article, “On the way up and the way down, one thing about Elizabeth Holmes has remained constant: people are fascinated by her.”

Watch the video to learn more.

Categories
Health

Elizabeth Holmes’ attorneys cite unfavourable protection in request to develop jury choice

Elizabeth Holmes, founder and former executive director of the Theranos Center, is leaving the U.S. Federal Court in San Jose, California on May 6, 2021.

Nina Riggio | Bloomberg | Getty Images

In the case of Elizabeth Holmes, it seems that any advertisement is not a good advertisement.

Attorneys for the former Theranos CEO cite widespread negative media coverage as a reason to add to the pool of jurors in their upcoming criminal trial.

A 21-page motion filed late Thursday set out examples of extremely descriptive and unflattering stories about Holmes in recent years.

“The advertising is consistently negative,” said Holmes lawyers. In addition, she is “routinely mentioned in derisive and inflammatory terms directly relevant to the cable fraud charges in this case. Media coverage describes her as” fraud “,” cheater “,” cheater “,” more ashamed. ” Theranos Founder “. Cheater and an angry psychopath.

Holmes requests an extended subpoena from the jury and has proposed a written questionnaire for the jury. Holmes attorneys wrote, “Media coverage also addresses adverse tropes and recurring issues, often related to Ms. Holmes’ behavior, voice and physical appearance.” They say the negative publicity dates back to at least 2015 and “has focused intensely on Ms. Holmes personally, not just the circumstances surrounding the dissolution of Theranos’ company”.

In the court record, Holmes’ lawyers said they conducted a comprehensive search of news articles and other media that generated 462,000 entries. These included 3,755 results from “Negative Personal News” and 2,862 results from “Negative Business News”.

Holmes attorneys proposed a 46-page jury questionnaire covering topics ranging from working in the blood test or the medical industry to experience in the venture capital world.

The questionnaire also asks whether the prospective juror has ever been a victim of fraud, had a bad experience with an investment, or was involved in a dispute over misdiagnosis.

Holmes left Stanford at the age of 19 and founded Theranos. He claimed his technology could accurately perform thousands of tests on just a drop or two of blood. The former executive has pleaded guilty to under a dozen fraud charges relating to misleading patients and investors.

The judge has scheduled a court hearing on June 15th. The jury selection is scheduled to begin in San Jose on August 31st.

Categories
Health

Theranos blood take a look at accuracy at coronary heart of Elizabeth Holmes legal case

Former Theranos CEO Elizabeth Holmes will attend the US government fraud court hearing against her on May 5, 2021.

CNBC

Former Theranos CEO Elizabeth Holmes promised a technological breakthrough, but it really was a house of cards, prosecutors said during a trial Wednesday.

“Miss Holmes went out, told the world, and told investors, we have tests with the highest accuracy rate,” said US assistant attorney Robert Leach, adding that her expert’s testimony “lies.”

The argument was in response to efforts by the defense, Dr. Stephen Master, an associate professor of pathology and laboratory in the University of Pennsylvania Medical School, from taking a stand. In 2013, after interviewing Holmes at a conference, Master said that her claims about Theranos’ miniLab technology “fell far short of previous claims”.

Holmes’ defenders argued that the master was used as a “parrot” by the government and that his conclusions about certain Theranos blood tests were “based on emails and customer complaints,” not practical experience.

Wednesday’s hearing was the second day of the argument about what evidence can be admitted and excluded from Holmes’ criminal fraud trial, which begins August 31st.

Prosecutors, among other things, alleged that Holmes was presenting an inappropriate defense in good faith.

“Efforts to return money to victims cannot undo the fraud once it is committed,” said John Bostick, another US assistant attorney.

The judge is expected to rule on critical motions, including whether to provide evidence of Holmes’ assets and expenses, private text exchanges and regulatory reports by the end of the week.

The hearing came when a former Theranos executive who had been close to Holmes in the company’s final days told CNBC that management was discussing Holmes’ resignation as CEO on several occasions. For Holmes, however, “that was a non-runner”.

“If she had resigned, I think she would have saved herself a lot of legal danger,” said the former Theranos manager, who asked not to be named. “Everyone who knows Elizabeth knows that she saw herself as a company, and I don’t think she can see the company going on without her.”

Holmes left Stanford at 19 to start Theranos. By the time the company collapsed in 2018, she had a six-figure salary and a multi-billion dollar stake in the blood testing startup.

However, an investigation by the Wall Street Journal found that the technology didn’t work as Holmes claimed it did. Now she faces a dozen fraud charges for falsely claiming that Theranos technology can perform dozens of blood tests on a drop or two of blood. She pleaded not guilty.

Despite the chaos in the final months of her reign, Holmes believed Theranos could still be saved.

Holmes achieved a partial victory this week when the judge ruled that defenders can refer to Silicon Valley’s hype culture to explain why Holmes exaggerated the technology behind Theranos.

Categories
Health

Elizabeth Holmes reappears in courtroom as attorneys spar

Former Theranos CEO Elizabeth Holmes ahead of a hearing in her criminal trial on May 4, 2021.

CNBC

A pregnant Elizabeth Holmes appeared in court for the first time in 15 months for three days to pave the way for her fraud trial.

At Tuesday’s session in the San Jose Federal Court, Judge Edward Davila only allowed Holmes, her defense lawyers, and the prosecution inside. When Holmes entered the courthouse, she refused to answer questions from CNBC’s Scott Cohn.

At the more than seven-hour hearing, both sides discussed critical motions that determine what evidence the jury will hear, including how the Silicon Valley culture may have influenced Holmes’ behavior as CEO of Theranos. The company closed in 2018 after an investigation by the Wall Street Journal uncovered unproven technology and dubious business practices.

“There is an exaggeration in Silicon Valley. There will be a natural discussion about startups and how they work,” said Davila. He ruled that the defense cannot find them unfairly singled out.

Prosecutors warned the judge not to give Holmes too much space to argue that her actions are no different from those of other startups.

“I would like to warn against what the defense paints with a very broad brush when they say trade secret practices at Theranos,” said Jeff Schenk, a US assistant attorney.

A court sketch of the court appearance of former Theranos managing director Elizabeth Holmes on May 4, 2021.

Vicki Behringer licensed to CNBC

Holmes attorneys say prosecutors built a comprehensive case on anecdotal evidence. Theranos technology performed between seven and ten million tests over two years. Amy Saharia, a Holmes attorney, said the trial will be “a vast jumble of irrelevant, adverse evidence.”

She added, “We have all become very familiar with testing this year. Testing involves many different variables. What the government is offering is scientifically unrelated, finding that Theranos technology was responsible for erroneous results. Just because it happened doesn’t mean it was because of Theranos technology. “

The subjects were just a few of the more than two dozen motions the judge is expected to rule on this week.

One is a motion from Holmes to block evidence of her wealth, spending, and lifestyle from the jury. Prosecutors allege Holmes’ “desire to retain her wealth and status created a powerful motive” to continue and hide her fraud. Holmes was once considered the youngest billionaire with an estimated net worth of $ 4.5 billion.

A former Theranos executive close to Holmes told CNBC, “I don’t think Elizabeth believed that there was daylight between her and the company. She saw herself as a company.” This person asked not to be named for fear of jeopardizing future employment opportunities.

Holmes, once a media treasure who made the rounds of television and magazines, has remained a mom since being charged with nine wire fraud cases and two wire fraud conspiracy cases. The former executive told CNBC that she was “an inherently optimistic person”.

“There was such a mythology around her. And I think to some extent she recognized and accepted that.”

“Everyone who’s been paying attention has only heard really negative things about her,” said Danny Cevallos, a legal analyst with NBC News. “Your disgrace was spectacular. There will be plenty of jurors who have probably heard of Holmes, and it’s probably not good.”

The selection of the jury begins on August 31st.

“It has its core [of] Supporters, a small but supporter who, until the day she died, said she was unfairly portrayed and abused, “said the former Theranos manager.

Categories
Health

Elizabeth Holmes trial probably delayed as a result of she’s pregnant

Elizabeth Holmes, founder and former executive director of Theranos, arrives for a hearing in the U.S. District Court in the Federal Building of Robert F. Peckham in San Jose, California on Monday, November 4, 2019.

Yichuan Cao | NurPhoto | Getty Images

Former Theranos CEO Elizabeth Holmes, whose criminal trial is due to begin in July, is asking for a delay because she is pregnant.

In a trial on Friday, her defense attorneys and prosecutors asked Judge Edward Davila to postpone the start of her trial for six weeks to begin August 31, 2021.

“On March 2, 2021, the defendant’s attorney notified the government that the defendant is pregnant and is expected to be due in July 2021,” Holmes prosecutors and attorneys write. “Both parties agree that in view of this development it is not possible to start the process on July 13, 2021.”

Further details were not immediately available.

The process has already been postponed three times due to the Covid-19 pandemic.

Holmes’ legal team was ready to address the issue of mental health as part of their defense strategy. In a previous court case, Holmes’ attorneys wrote that they intend to produce evidence “relating to a mental illness or a mental defect or other psychological condition of the defendant relating to the subject of guilt”.

This would be the expert testimony of Dr. Mindy Mechanic, a professor of clinical psychology at California State University Fullerton, who, according to the university’s website, “focuses on the psychosocial consequences of violence, trauma and victimization, with an emphasis on violence against women and other forms of violence interpersonal violence. “

The judge gave federal prosecutors the opportunity to self-examine Holmes’ mental health and to be examined by two experts, a psychologist and a psychiatrist.

Holmes and her former COO Sunny Balwani each face a dozen charges of fraud and 20 years in prison for falsely claiming that Theranos technology can perform dozens of blood tests on just a drop or two of blood.

The Silicon Valley startup was once valued at $ 9 billion before it closed in 2018.