Disgraced founder who was sentenced last November to 11 years in prison for defrauding investors has not paid back the money she owes
The disgraced founder of Theranos was sentenced last November to more than 11 years in prison for defrauding investors, after being convicted over her role in the blood testing firm that collapsed after its technology was revealed to be largely fraudulent.
And she has allegedly not yet paid back the $25m that she owes, according to a lawsuit which was filed last December but only surfaced on Friday during Holmes’s latest court appearance.
According to the lawsuit reviewed by CNBC, Holmes executed several promissory notes during her time as Theranos CEO. In 2011, she executed two promissory notes in August and December in the amounts of $9,159,333.65 and $7,578,575.52, respectively. Then, in December 2013, Holmes executed a promissory note in the amount of $9,129,991.10.
Two of the payments were due in 2016 and the third note was due in 2018. According to the lawsuit, the board of directors at the fraudulent blood-drawing company extended the notes’ terms in July 2016 by five years, CNBC reports.