Disgraced tech luminary Elizabeth Holmes has initiated her 11-year prison term following her conviction for defrauding investors through her once-celebrated blood-testing company, Theranos.
Elizabeth Holmes surrenders: Here’s everything we know
The 39-year-old entrepreneur and mother of two surrendered at an all-female correctional facility in Bryan, Texas, located near Houston, which happens to be in close proximity to some of Holmes’ relatives.
As reported by NPR, Holmes’ legal team made an effort to postpone the commencement of her prison sentence by requesting her release pending an appeal of her conviction.
However, the Ninth Circuit of Appeals denied her plea, ruling that Holmes had failed to raise a “substantial question” of law or fact pertaining to her case.
In January 2022, Holmes was found guilty of fraud and conspiracy by a jury in San Jose, California.
The charges were related to false claims she made to investors regarding revolutionary medical devices that purportedly could detect hundreds of diseases using only a few drops of blood.
Subsequently, US District Judge Edward Davila sentenced her to 11 years in prison and ordered her to pay $452 million in restitution to investors, including prominent figures like media mogul Rupert Murdoch and former Education Secretary Betsy DeVos.
One crucial factor that influenced the length of Holmes’ prison term was the substantial amount of money she defrauded from investors. Under federal sentencing guidelines, this placed her recommended range between 11 and 14 years behind bars.
Does Elizabeth Holmes have any hope of an appeal?
Holmes retains the option to pursue further appeals; however, she will have to contend with her conviction while incarcerated. While it is possible for her to appeal her case all the way to the US Supreme Court, it is unusual for the high court to intervene in such matters.
The duration of Holmes’ stay at the Bryan, Texas prison facility remains uncertain. According to The Wall Street Journal, many inmates at the camp are released early due to good conduct and active participation in various prison programs.
These programs include training Labrador puppies as service dogs or working in the facility’s kitchen, where the pay rate stands at a mere 12 cents per hour.
Holmes became pregnant with her first child, William, prior to the commencement of her fraud trial. She later became pregnant with her daughter, Invicta, before her sentencing.
Billy Evans, whose San Diego-based family operates a hotel company, is the father of both children. While Holmes’ family will have the opportunity to visit her every weekend, her children will be permitted to sit on her lap during these visits.
Bureau of Prisons policies allow breastfeeding women to nurse their infants in designated visitation areas. However, interactions with family members are strictly regulated within the facility.
How Holmes’ Theranos scam was unravelled
Holmes, known for her trademark black turtlenecks and deep-toned voice, captivated the business world with her claims of revolutionising the healthcare industry.
Often compared to Steve Jobs, she graced magazine covers as a one-of-a-kind innovator.
However, it emerged that her blood-testing machines, named the Edison, were used to analyse only a fraction of the blood samples processed by the company, and even then, the results were riddled with inaccuracies.
Journalist John Carreyrou played a significant role in exposing Theranos’ deceptive practices through a series of investigative articles published in The Wall Street Journal beginning in 2015.