Overview
Bloomberg Law quoted Steptoe partner Will Drake in a January 2 article discussing the cases and trends white collar lawyers plan to keep an eye on in the next year. According to the article, one of the most highly anticipated cases of the past several years—involving failed blood-testing startup Theranos—has an August trial date in a federal court in Northern California. The company's founder, Elizabeth Holmes, and former board member and executive Ramesh "Sunny" Balwani were charged in June 2018 on nine counts of wire fraud and two counts of conspiracy to commit wire fraud. Both have asked Judge Edward Davila to toss the indictment, saying it lacks critical details.
Drake tells Bloomberg Law that Holmes' trial is sure to grasp the attention of the white-collar defense bar since large-scale criminal cases from securities fraud allegations are few and far between. The case could also have implications for how others accused of wrongdoing approach potential resolutions with regulators. "It's interesting that she settled with the SEC and then still got indicted," Drake says. "So I'll be interested to see, if she is in fact convicted, how that might affect individuals' interest in those types of settlements going forward."
The full article can be read at Bloomberg Law.
