Federal Appeals Court Upholds Fraud Convictions of Theranos Founder Elizabeth Holmes and Sunny Balwani

A federal appeals court on Monday upheld the fraud convictions of Theranos founder Elizabeth Holmes and her former business and romantic partner, Ramesh “Sunny” Balwani. The ruling rejects Holmes’ bid for a new trial, in which she argued that the trial judge failed to vet a prosecution expert, according to Bloomberg Law.

Key Rulings on the Theranos Case

• Holmes and Balwani were convicted in 2022 of defrauding investors out of millions while misrepresenting Theranos’ blood-testing technology.
• At its peak, Theranos was valued at $9 billion, before its fraudulent claims were exposed.
• Holmes, currently serving an 11-year prison sentence, sought to overturn her conviction, but the appeals court rejected her arguments.

What’s Next for Holmes and Balwani?

With the fraud convictions upheld, Holmes and Balwani will remain behind bars, marking the final chapter in one of Silicon Valley’s biggest scandals. The ruling reinforces the legal consequences of corporate deception and serves as a cautionary tale for the tech industry.