Former Theranos CEO Elizabeth Holmes set to be sentenced
CBSN
Former Theranos CEO Elizabeth Holmes is set to be sentenced on Friday, 10 months after a jury found her guilty of defrauding investors in the failed blood-testing company.
Holmes, 38, founded Theranos in 2003, and it quickly grew to become of one of the best-known startups in the world, with a peak valuation of $10 billion. But a series of exposes by the Wall Street Journal raised questions about the effectiveness of the company's technology and business practices, triggering multiple investigations by federal and state officials.
The sentence, to be imposed by Judge Edward Davila of the Northern District of California, will be seen as a signal for how seriously wrongdoers in the high-flying world of tech startups can expect to be punished when they misrepresent a company's capabilities.
