Naveen Andrews (left) plays Ramesh "Sunny" Balwani, Theranos president and COO. In June 2018, Holmes and Balwani were indicted on nine counts of wire fraud and two counts of conspiracy to commit wire fraud, as Insider reported. REUTERS Holmes, who was romantically. The sentence on Wednesday was handed down by Judge Edward J. Davila at a federal courthouse in San Jose, California. ", The memorandum continued: "There are truly evil people in this world who take pleasure in defrauding vulnerable people. An interview with a Theranos assistant was also included and detailed how both Balwani and Holmes ordered each other flowers for Valentine's Day in 2016. The judge said he doesn't expect to decide on the question of how much Balwani should pay in restitution until another hearing on the same issues is held for Holmes, Theranos' disgraced CEO, on March 17. Balwani didn't testify in his own defense. But a series of business endeavors and missteps would eventually leave Sunny. But federal prosecutor Kelly Volkar repeatedly denied any wrongdoing. The two sides also painted radically different pictures in their arguments about whether Balwani should be allowed to remain free during his appeal. Sunny Balwani (Naveen Andrews) and Elizabeth Holmes (Amanda Seyfried) in Hulu's 'The Dropout.' Beth Dubber/Hulu Throughout history, there have been many heterosexuals who have sullied the good . By 2000, Balwani decided to sell his shares, walking away with $40 million before the company went out of business. During her trial, Elizabeth shared notes she said Sunny had given her that broke down how she should act and speak, per CNBC. His nearly 13-year ordered term is even longer than what Elizabeth Holmes received. In the same year, Holmes was sued for fraud by the SEC alongside former company president Sunny Balwani, who was also her ex-boyfriend. An investigation by journalist John Carreyrou that uncovered widespread practices of fraud within the company led to Holmes' ousting and the company stopping operations entirely in 2018. Balwanis grasp on Holmes was broken in 2016, shortly after the Wall Street Journal published an expose that raised questions about the claims made by Theranos about its blood testing devices. By comparison, his . By 2009, Holmes had burned through most of the companys early investor capital and needed a loan to reach the next stage of fundraising. Although Holmes defense at the recent trial would claim that Balwani was the one actively overseeing lab testing and inflating the companys financial models, texts obtained by Carryrou show that both he and Holmes were actively involved with the companys day-to-day operations. Cant even move let alone do sit-ups or actually sit up. During her trial, Elizabeth accused Sunny of emotional and physical abuse, which he has since denied. Mr. On Sept. 6, Holmes filed a petition for a new trial based on the reliability of testimony provided by former Theranos lab director . Holmes and Balwani met in 2002 when she was about 18 years old and he was 37. Another New York Times article reported that Holmes' lawyer told the jury in an opening statement that "Trusting and relying on Mr. Balwani as her primary adviser was one of her mistakes." Ramesh "Sunny" Balwani is the former COO of Theranos, as well as the former lover of Theranos CEO and founder Elizabeth Holmes. Like Holmes, Balawani does not appear to be in jail awaiting the trial. High 81F. Now 37, Holmes was 18 when she met Balwani on a Chinese-language immersion trip in 2002. The amount Holmes will need to pay back to investors will be determined at a later date, NBC's Scott Budman tweeted from the courtroom.. Holmes spoke at the sentencing, stating, "I regret my failings with every cell of my body." Elizabeth Holmes (through tears): "I am devastated by my failings. Holmes received her sentence from Davila at the same courthouse on Nov. 18. Balwani had told Holmes "I am responsible for everything at Theranos. Comparisons between Balwani and his ex-girlfriend and former Theranos CEO Elizabeth Holmes have increased . Every product was carefully curated by an Esquire editor. Abigail Covington is a journalist and cultural critic based in Brooklyn, New York but originally from North Carolina, whose work has appeared in Slate, The Nation, Oxford American, and Pitchfork. Jan 7, 2022, 6:25 PM UTC. He and Elizabeth hid their relationship while they worked together. She broke down in tears on the stand and claimed he controlled her schedule, her appearance, and her interactions with her family. Sunny Balwani found guilty of defrauding Theranos investors and patients. Former Theranos CEO Elizabeth Holmes arrives at federal court in San Jose, Calif., on Oct. 17, 2022. While Sunny faces up to two decades in prison on fraud charges, like Elizabeth, hes not currently in police custody. SAN JOSE, Calif. -- Former Theranos executive Ramesh "Sunny" Balwani returned to federal court Friday in a last-ditch attempt to stay out of prison while appealing a jury's verdict convicting him of orchestrating a blood-testing hoax with his former boss and lover, Elizabeth Holmes. Sunny Balwani, former president of Theranos Inc., arrives at federal court in March 2022. Balwani attorney Mark Davies alleged that government misconduct in the presentation of evidence during Balwani's trial makes it likely he will prevail in the appeal of his convictions. At Abercrombie Is On Sale RN, Shop Amazon's Gardening Sale Before Spring. The atmosphere of the place became caustic, former Theranos vice president Anthony Nugent testified, according to Bloomberg. Her turnaround efforts included ousting Theranos' chief operating officer, Sunny Balwani, who also had been her lover. In July 2015, the pair discussed Balwani leaving the company. The wild and complicated story of Theranos founder Elizabeth Holmes and her quest to create a company that would diagnose a slew of serious health conditions with a single drop of blood is finally drawing to a close. Sunny was, replied Holmes, who has spent seven days testifyingin her own defense, denyingthat she swindled patientsand investors out of millions while knowingly producing a faulty testing device toenrich herself. By Kate Storey and Abigail Covington. The New York Times has reported that Balwani worked as sales manager for Microsoft. In fact, he met Holmes when she was just 18 and joined Theranos in its early days. "Sunny Balwani did not start Theranos, he did not control Theranos, he did not have final decision-making authority at Theranos," said Balwani's attorney, Stephen Cazares. It is scheduled to begin on March 15 and to last 13 weeks. 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Earlier in March, Sunny sold the 6,800-square foot home where he and Elizabeth lived in Atherton, California, for a cool $15.8 million, the New York Post reported. Holmes, who was romantically involved with Balwani for more than a decade, said their breakup was a process., He showed up at the church I would go to at night and at the Dish, which is where I used to run around Stanford, Holmes said. Holmes also testified that Balwani abused her and forced her to have sex with him during the time the fraud charges took place. Former Theranos COO Sunny Balwani was found guilty in all 12 counts of fraud on July 7. You Can Stream Every 'Rocky' Movie Right Now, 'WoF' Fans Say This Is the 'Biggest Choke' on Show, Daisy Jones & the Six Is a Rock Epic in 10 Parts, See Mariska Hargitays Emotional Tribute on IG. Theranos claimed the machines required just a few drops of blood to run and could execute more than 1,000 tests. Holmes nearly 20 years younger than Balwani testified that Balwani coached her on how to behave and speak, and pushed her to adopt a rigorous daily schedule as well as a strict diet. We may earn commission from links on this page, but we only recommend products we back. We may earn commission from links on this page, but we only recommend products we back. #Update: Prosecutors ask for a 15-year prison sentence (and $803 million in restitution) for Sunny Balwani, former boyfriend of Elizabeth Holmes and COO of Theranos.He was convicted on 12 counts of fraud and conspiracy.His sentencing is December 7th. However, this figure is likely to drop if he is convicted. Where Is Murdaugh Murders Buster Murdaugh Now? Ramesh "Sunny" Balwani (born c. 1965) is an American convicted fraudster, businessman and former president and chief operating officer of Theranos, which was a privately held health technology company founded by his then-girlfriend Elizabeth Holmes.He was the second most important figure in the collapse of Theranos and its fraudulent claims to investors, that they had devised a revolutionary . Meanwhile, Balwani received nearly 13 years in prison, despite facing the same 12 counts as his ex. But Holmes and Balwani had a long-term romantic relationship, Holmes later testified. Balwani faced a sentence of 20 years for each of the 12 counts, but legal experts expect the sentences to be served at the same time, giving him a maximum sentence of 20 years. Sign up for NBC Bay Areas Housing Deconstructed newsletter. This article will cover all the pertinent information on "Sunny Balwani in Prison" and investigate the case's veracity. Now, after a jury has just found Sunny guilty of defrauding investors and patients, he has received his a sentence of nearly 13 years in federal prison. According to reporting by The Wall Street Journals John Carryrou, who first exposed Thernos fraudulent claims to investors in a series of articles, Balwani and Holmes relationship began as a friendship in the summer of 2002. He did not defraud Theranos investors, who were among the most sophisticated in the world. In over 28 years of practicing law, as both a federal prosecutor and a defense attorney, I have never seen a case like this one, where the government brings a criminal prosecution against a defendant who obtained no financial benefit and lost millions of dollars of his own money, attorney Jeffrey Coopersmith told Vanity Fair in 2018. Volkar suggested Balwani may have more incentive to flee with his lengthy prison sentence now less than a month away and argued he remains a potential menace. Balwani is scheduled to be sentenced in federal court in San Jose on Dec. 7. ", Prosecutors in their filing equated Balwani's role in the Theranos scandal with that of Holmes: "Balwani, with Holmes, was an equal participant in Theranos' efforts to quash the truth about its technology's limitations and failings. The deceit resulted in Balwani's conviction on 12 counts of fraud and conspiracy. Besides overseeing arguments about Balwani's attempt to delay the start of his nearly 13-year prison sentence, U.S. District Judge Edward Davila also heard a vigorous debate about how much money Balwani should pay investors and patients duped by the Theranos blood tests that never worked as promised. It was a good-faith loan.". Hurts so much. Several of the newly unsealed documents relate to the successful efforts by Holmes's ex-boyfriend, Ramesh "Sunny" Balwani, to separate his trial from hers. Closing arguments in the trial are expected to begin Dec. 16. The Dropout's Sunny Balwani's criminal trial is underway in San Jose, California, and texts between him and Elizabeth Holmes are set to play a key role in the prosecution case. Ramesh "Sunny"Balwani joined Theranos in 2009 after loaning the company $10 million, as reported by CNN. Holmes and Balwani both face 12 chargestwo counts of conspiracy to commit wire fraud and 10 counts of wire fraudfor allegedly engaging in a multimillion-dollar scheme to deceive investors . , updated Theranos dissolved that same year. (In the Holmes trial, an additional patient count was dismissed due to a procedural issue with the prosecution's case, and the jury deadlocked on three of the investor charges.). Holmes met Balwani, who is 19 years older than the Theranos founder, when she was in China for Stanford's Mandarin program in 2002 the same year he filed for divorce from then-wife Keiko.