The prosecution and defense had proposed a Sept. 12 sentencing hearing in a court record on Tuesday, stating in the record that “after Labor Day 2022 would be appropriate in light of ongoing proceedings in a related case.” , a reference to Holmes’ upcoming trial. ‘second in command to Theranos who faces the same charges as her. In a court order signed Wednesday, Judge Edward Davila, who is presiding over the Holmes case, set his sentencing hearing for later in September. At this point, it will have been over a year since the start of his trial.
According to the indictment, Holmes faces up to 20 years in prison and a fine of $ 250,000 plus restitution on each count. Judge Davila will ultimately decide Holmes’ sentence as he sees fit, using the sentencing guidelines as a benchmark.
Balwani’s trial, which was originally scheduled to begin this week, has been delayed, first due to the length of Holmes’ trial – which lasted four months including deliberations – and then due to the spread of the Omicron variant of the coronavirus . In a separate filing filed Tuesday, the prosecution and defense in Balwani’s trial proposed March 9 as the start date for jury selection. Balwani has pleaded not guilty.
Holmes, who started Theranos at the age of 19, claimed to have developed revolutionary blood testing technology that could accurately and affordably test a range of conditions using just a few drops of blood. Once considered the next Steve Jobs, Holmes has raised $ 945 million from investors, catapulting her startup to a $ 9 billion valuation and making her a paper billionaire. But her technology didn’t work the way she claimed it would, and it all fell apart.
After 50 hours of jury deliberation spread over seven days, Holmes was convicted of four counts, including one count of conspiracy to defraud investors and three counts of wire fraud linked to specific investors. The jury acquitted Holmes of three counts of defrauding patients and one count of conspiracy to defraud patients.
There have been three other wire fraud counts linked to other investors on which jurors could not reach unanimous agreement and for which Judge Davila has declared the trial set aside. The prosecution indicated in the proposed joint filing that it intends to drop all three counts and plan to file a formal motion to that effect by the end of this week.