The Surprise Verdict:
Former CEO of Theranos, Elizabeth Holmes (37), was convicted of duping investors into believing her startup company on Monday. Theranos earlier claimed that it had developed a device that could detect a multitude of diseases and conditions from a few drops of blood.
Many experts watching Silicon Valley talked about its hype culture to boost businesses. The ups and downs of Theranos and its CEO, Holmes, is a classical example that the expert opinions are valid.
A jury convicted Holmes of two counts of wire fraud and two counts of conspiracy to commit fraud. The Stanford dropout CEO’s conviction came after seven days of deliberation.
However, the case started earlier in 2015 when a group of people investigated the company. Two medical research professors, John Ioannidis and Eleftherios Diamandis, and an investigative journalist of The Wall Street Journal, John Carreyrou, questioned the reliability and validity of the company’s so-called breakthrough technology.