San Francisco, California – A US court upheld the convictions of Elizabeth Holmes, the founder of Theranos, and President Ramesh “Sunny” Balwani on Monday for defrauding investors in the failed blood testing startup that was previously valued at $9 billion. The three-judge panel for the 9th US Circuit Court of Appeals in San Francisco rejected claims of legal errors at their separate trials held in 2022.

Holmes, who originally started Theranos as a college student and later became its well-known public face, was indicted alongside Balwani, her former romantic partner, in 2018. Both were sentenced in 2022 to significant prison terms – Holmes to 11 years and three months, and Balwani to 12 years and 11 months.

The court’s decision showcases a major development in the legal saga of the once-promising startup that aimed to revolutionize the healthcare industry with its innovative blood testing technology. The case brought national attention to the issue of corporate fraud and accountability, underscoring the importance of transparency and honesty in the business world.

Despite their previous attempts to challenge their convictions, Holmes and Balwani now face the consequences of their actions as they continue to serve their respective prison sentences. The ruling highlights the significance of upholding ethical standards in entrepreneurship and the severe repercussions that can result from engaging in fraudulent activities.

The images of Holmes in prison in Bryan, Texas, in 2023 serve as a stark reminder of the downfall of an ambitious entrepreneur whose actions ultimately led to the demise of her once-celebrated company. The legal proceedings surrounding Theranos have undoubtedly left a lasting impact on the business community, emphasizing the importance of integrity and accountability in all aspects of corporate operations.

As Holmes and Balwani navigate their time behind bars, the legacy of Theranos serves as a cautionary tale for aspiring entrepreneurs and established businesses alike, urging them to prioritize honesty and integrity in their endeavors. The case has sparked discussions about corporate governance and the responsibility of leaders to act ethically, resonating across industries and prompting reflection on the ethical implications of business decisions.