Why The Theranos founder’s sentencing was delayed

The Theranos founder’s sentencing was delayed because of allegations of prosecutorial misconduct.

Elizabeth Holmes

A judge has agreed to delay the sentencing this month of Elizabeth Holmes, the founder of failed blood test Theranos, to hear evidence of misconduct by a prosecutor.

U.S. District Court Judge Edward DeVilla on Monday backed off Holmes’ sentencing hearing, originally scheduled for October. 17, and will instead hear a “limited” evidentiary hearing that day.

Holmes, who pleaded guilty to four counts of fraud in January, could see his sentence compressed until next year. He faces a maximum of 20 years in prison and a fine of up to $250,000 per count.

Holmes’s attorneys asked for a new trial last month after former Theranos lab director Adam Rosendorf expressed remorse over his testimony at the trial last month.

According to court files, Rosendorf visited Holmes’ home in August where he spoke with business partner Billy Evans, who announced the exchange to the defendants’ lawyers. Rosendorf, one of the prosecution’s stars witnesses, has since filed an affidavit disputing his testimony.

The judge called the charges brought by federal prosecutors limited but serious and said he would question Rosendorff about “allegations of official misconduct.”

“What the court wants to know is, Dr. Rosendorf, do you feel the government took advantage of you in preparation or in any way with regard to your testimony?” Davila said as they discussed what the hearing would be. “What I want to know is, did you tell the truth?”

In January, a 12-member jury found Holmes guilty of three counts of wire fraud and one count of conspiracy to commit wire fraud. He was acquitted on four other counts and convicted on three other counts of wire fraud.

Prosecutors say Holmes made false and misleading statements to investors about developing a device that could perform comprehensive blood tests using only fingerprint samples.

Holmes’ lawyers said he had no intention of deceiving investors in the high-profile company.

Theranos was dissolved in September 2018, shortly after Holmes was indicted along with former Theranos president and CEO Ramesh “Sunny” Balwani.

Bhiwani, a former partner of Holmes, was also convicted in July on all 12 counts of fraud. He is scheduled to be sentenced on Nov. 11. 11. 15. 15.

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