Former Theranos executive sentenced to nearly 13 years

Former Theranos executive Ramesh “Sunny” Balwani was sentenced Wednesday to nearly 13 years in prison for his role in the company’s blood-testing hoax — a sentence slightly longer than that given to the CEO, who was his lover and accomplice in one of Silicon Valley’s biggest scandals.

Balwani was convicted in July of fraud and conspiracy connected to the company’s bogus medical technology, which duped investors and endangered patients. His sentencing came less than three weeks after Elizabeth Holmes, the company’s founder and CEO, received more than 11 years in prison for her part in the scheme, which has been dissected in a book, HBO documentary and award-winning TV series.

Balwani’s sentence was less than the 15 years sought by federal prosecutors, who depicted him as a ruthless, power-hungry figure. But it is substantially longer than the four to 10 months sought by his lawyers.

The scandal revolved around the company’s false claims to have developed a device that could scan for hundreds of diseases and other potential problems with just a few drops of blood taken with a finger prick.

After years of promoting the technology, Holmes and Balwani were warned that the blood tests were inaccurate, but they continued to raise money from investors, including from billionaires such as software magnate Larry Ellison and media magnate Rupert Murdoch, and deployed the technology in some Walgreens stores.

U.S. District Judge Edward Davila said the financial statements from Balwani “weren’t just projections, they were lies” and “a true flight from honest business practices.”

Ramesh ‘Sunny’ Balwani was sentenced for his role in the company’s blood-testing hoax