© Reuters. Theranos founder Elizabeth Holmes left after participating in a fraud trial in the Federal Court of San Jose, California on November 22, 2021. REUTERS/Brittany Hosea-Small
San Jose, California (Reuters)-Theranos founder Elizabeth Holmes denied lying to Walgreens about his company’s technology in Tuesday’s fraud trial and provided the key to concealing operations and internal reports Reasons in detail.
Holmes defended himself for the third consecutive day against allegations of fraud related to Theranos, a now defunct blood testing startup. The technology touted by the company can perform diagnostic tests faster and more accurately than traditional laboratory tests, requiring only a drop of blood to be pierced from a finger.
The jurors in San Jose, California learned from the prosecutor at the beginning of the trial that Holmes had falsely promised to use a micro blood analyzer to consolidate the partnership with Walgreens, but then secretly used “big and bulky third-party machines” to do so. Test samples from patients who entered its store.
On Tuesday, Holmes told the jurors that she had been following legal advice when she refused Theranos’ use of Walgreens’ third-party analyzers because the modifications used to run small samples were Theranos’ trade secrets.
“A large medical device company like Siemens can easily replicate what we do,” she said.
Theranos, once valued at US$9 billion, went bankrupt after publishing a series of articles in The Wall Street Journal since 2015 indicating that its equipment was defective and inaccurate.
Holmes’ decision to testify was risky because it would expose her to severe cross-examination by prosecutors.
In her testimony, 37-year-old Holmes has been trying to show that she believes that Theranos technology can fulfill her claims. The jurors encouraged Theranos scientists to discuss the potential of small machines to run any type of test via email and make progress in development. it.
Holmes also denied misrepresenting Theranos’s cooperation with pharmaceutical companies on Tuesday. Pfizer Inc (NYSE:) and Schering-Plough added the company’s logo, which the prosecutor said was an attempt to take Theranos’ conclusion as their conclusion.
She acknowledged that she added these logos to the report before sending it to pharmacy operator Walgreens, which discussed a partnership with Theranos in 2010 to communicate drugmakers’ participation in promising research using Theranos technology.
Holmes said: “I wish I did differently.”
Holmes also testified that she did not conceal this addition from Pfizer and showed the jurors an email in which the report with the logo was sent to Pfizer individuals in 2014.
During the two-month trial, the jurors heard the testimony of more than 20 prosecution witnesses, including patients and investors who the prosecutor claimed that Holmes had deceived.
Holmes pleaded not guilty to nine counts of wire fraud and two counts of conspiracy.
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