Ex-Theranos CEO cries abuse by BF
Alleged fraudster Elizabeth Holmes, the founder of Theranos, claims she suffered a “decade-long campaign of psychological abuse” from her former boyfriend and business partner Ramesh “Sunny” Balwani.
Holmes’ attorneys said in a court filings unsealed over the weekend that they plan to introduce evidence in her trial this week that Balwani “controlled what [Holmes] ate, how she dressed, and how much money she could spend, who she could interact with — essentially dominating her and erasing her capacity to make decisions.”
The attorneys said Balwani, former Theranos vice-chair, COO and president, also restricted Holmes’ sleep, monitored her movements and insisted “that any success she achieved was because of him.”
The relationship amounted to “intimate partner abuse,” the attorneys wrote, adding that “Holmes is likely to testify herself to the reasons why she believed, relied on and deferred to Mr. Balwani.”
Balwani denied the allegations, with his attorney calling them “deeply offensive” and “devastating personally” to Balwani, who is set to be tried separately next year for his involvement with Theranos.
The recently unsealed filings offer insight into how Holmes plans to defend herself against charges of defrauding investors at her high-profile trial, which begins Tuesday in California.
The documents indicate that at least part of Holmes’ defense will rely on convincing the jury that her abusive relationship with Balwani impacted her state of mind, which led her to turn a blind eye to the shortcomings of her blood-testing startup.
The US Department of Justice charged Holmes and Balwani in 2018, accusing them of defrauding investors, medical professionals and customers. Both have denied the charges.
Before her arrest, Holmes — a Steve Jobs wannabe who dressed exclusively in black turtlenecks as she talked up her bloodtesting unicorn — at one point scored a more than $9 billion valuation for Theranos.
Her company claimed to be able to detect medical conditions like cancer by using their new technology on a tiny sample of customers’ blood.