What ' s Next Legally for Elizabeth Holmes? Criminal charges from the DOJ?

A long-time reader ofLab Soft News, Barry Portugal, submitted a comment in response to my recent note about the legal problems of Elizabeth Holmes, founder of Theranos (see:Elizabeth Holmes, Founder of Theranos, Charged by SEC with Massive Fraud). Below is his comment:Holmes' and her CEO's monetary penalty and prohibition from sitting on a corporate board amount to little more than a slap on the wrist.The significant danger of inaccurate testing techniques and fraudulent business activities deserve jail time and much larger penalties.I think that most of us will agree that, like Barry, her penalty for fraud was a a bit of a joke (see:Theranos chief executive Elizabeth Holmes charged with massive fraud). However, and according to a recent article inForbes, Holmes could still spend time in prison (see:Lawyers: Elizabeth Holmes Could Still Serve Time In Prison). Here is the"money quote" from this article:“She could very well serve time,” said ...[an attorney]. “She is subject to criminal charges because she outright lied.”....The SEC complaint alleges that 34-year-old Holmes misrepresented Theranos ’ revenue, the capabilities of its blood-testing machines, their need for FDA approval....The SEC charges themselves are not criminal but civil, and the SEC can't give jail time. But the U.S. Attorney ’s Office of the Department of Justice may take a look at the case and decide to bring criminal charges, said...[a noted law pro...
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