Disgraced ex-Theranos CEO Elizabeth Holmes is asking for too much: Prosecutors
Holmes suggested 'without basis' that jurors were improperly selected, prosecutors say
Prosecutors fired back against Elizabeth Holmes’ recent request for court documents regarding the grand jury that voted to indict her, arguing that she is asking for too much and is suggesting “without basis” that the jurors were improperly selected, according to court papers and a report.
The ousted Theranos founder and CEO had requested access to documents and information pertaining to the government’s grand jury selection process, which, as a whole, was stalled in March until June as a result of the novel coronavirus pandemic, Law360 reported.
The prosecution submitted a response to the court on Friday, and the outlet later published the court papers online.
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The government’s motion says Holmes has requested “21 broad categories of documents” surrounding the selection process.
“She speculates the Grand Jury was selected after the onset of the pandemic. She invokes marketing materials of a private jury consulting firm to assert ‘serious concern’ about ‘the representativeness of the Grand Jury,’” the prosecution argues. “And without basis, she suggests the Grand Jury that returned the Second and Third Superseding Indictments -- and indictments in other cases since June 1, 2020 -- was not selected at random from a fair cross section of the community.”
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Prosecutors asked the judge to deny Holmes’ request in part because she was not entitled to certain documents because they aren’t necessary.
Former Theranos CEO Elizabeth Holmes leaves after a hearing at a federal court in San Jose, California, July 17, U.S., 2019. (REUTERS/Stephen Lam)
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“The parties are entitled to inspect a limited set of data – namely, to the extent available, the county of residence, zip code, race, and age of the individuals listed in the master jury wheel from which the Grand Jury was selected -- which is sufficient for Defendant Holmes to determine whether, in her view, a motion to stay or dismiss is warranted,” the motion states. “To the extent Defendant Holmes seeks materials beyond this limited set of data, the Court should deny her motions.”
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Prosecutors allege that Holmes and former chief operating officer Ramesh “Sunny” Balwani deliberately misled investors, policymakers and the public about the accuracy of Theranos’ blood-testing technologies.
The two pleaded not guilty to wire fraud and conspiracy to commit wire fraud. If convicted, they could each face maximum penalties of 20 years in prison, a $2.75 million fine and possible restitution, the Department of Justice said.
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Holmes forfeited control of Theranos in 2018 and agreed to pay a $500,000 fine to settle charges by the Securities and Exchange Commission that she had committed a “massive fraud” that led investors to pour $700 million into the firm.
She was originally scheduled to go to trial in the summer of 2020, but the date was later pushed back to at least Oct. 27 – a date that Judge Edward Davila recently called “unrealistic.” Holmes’ attorneys have since asked that the trial be delayed until April 2021.
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The Associated Press contributed to this report.