🩸The Theranos Saga Continues
Thought you'd finished hearing about Theranos? Think again. The trial of Ramesh "Sunny" Balwani, former president and COO of Theranos (as well as Elizabeth Holmes's former romantic partner), has begun in San Jose. Balwani is being charged with the same slate of crimes as Holmes was in connection to a massive scam federal prosecutors allege he helped her perpetrate at Theranos.
According to Axios, federal prosecutors wanted to try Balwani and Holmes together, but Balwani's lawyers successfully separated his trials from hers.
That separation lends itself to the strategy Balwani's defense will use: Holmes was the founder and head of Theranos, so any crimes committed were ultimately her fault or responsibility.
A Two-Toned Portrayal
Stephen Cazares, Balwani's lawyer, set up his client in the trial's opening statements as a man with past business successes, and a leader that transformed the company into a stronger, more stable one, "but also a naif who was bamboozled by Holmes," adds Axios. It's an image that definitely tries to have it both ways.
So Balwani didn't know, Holmes claims she did everything earnestly, and yet they were running a multi-billion dollar company with some of the most high-profile investors in the country. How many other CEOs in the Valley are watching this saga play out and are taking notes?