Jun 15, 2018

Theranos founder Elizabeth Holmes charged with criminal fraud

Theranos founder Elizabeth Holmes speaking at a conference. Photo by Gilbert Carrasquillo/Getty Images

Theranos founder Elizabeth Holmes and former company president Ramesh "Sunny" Balwani were accused Friday by federal prosecutors of criminally defrauding investors, patients and doctors. Holmes stepped down as the blood-testing company's CEO shortly before the charges were announced, but will remain board chair.

The big picture: The SEC filed civil fraud charges in March, so the criminal complaint isn't terribly surprising. Holmes settled those charges, while Balwani opted to fight them. Per Axios' Dan Primack, this is the "largest alleged fraud ever perpetrated in Silicon Valley."

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Axios
4 hours ago - Podcasts

Facebook boycott organizers share details on their Zuckerberg meeting

Facebook is in the midst of the largest ad boycott in its history, with nearly 1,000 brands having stopped paid advertising in July because they feel Facebook hasn't done enough to remove hate speech from its namesake app and Instagram.

Axios Re:Cap spoke with the boycott's four main organizers, who met on Tuesday with CEO Mark Zuckerberg and other top Facebook executives, to learn why they organized the boycott, what they took from the meeting, and what comes next.

Sara Fischer
5 hours ago - Technology

Boycott organizers slam Facebook following tense virtual meeting

Illustration: Sarah Grillo/Axios

Civil rights leaders blasted Facebook's top executives shortly after speaking with them on Tuesday, saying that the tech giant's leaders "failed to meet the moment" and were "more interested in having a dialogue than producing outcomes."

Why it matters: The likely fallout from the meeting is that the growing boycott of Facebook's advertising platform, which has reached nearly 1000 companies in less than a month, will extend longer than previously anticipated, deepening Facebook's public relations nightmare.

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Hans Nichols
7 hours ago - Politics & Policy

Steve Scalise PAC invites donors to fundraiser at Disney World

Photo: Kevin Lamarque-Pool/Getty Images

House Minority Whip Steve Scalise’s PAC is inviting lobbyists to attend a four-day “Summer Meeting” at Disney World's Polynesian Village in Florida, all but daring donors to swallow their concern about coronavirus and contribute $10,000 to his leadership PAC.

Why it matters: Scalise appears to be the first House lawmakers to host an in-person destination fundraiser since the severity of pandemic became clear. The invite for the “Summer Meeting” for the Scalise Leadership Fund, obtained by Axios, makes no mention of COVID-19.

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