You don't mention the role of the Board of Directors in protecting the investors. What are your thoughts on how they performed in these companies and what liabilities they might have to the investors?
IMO a much bigger issue is that she defrauded the public, i.e. consumers who used Theranos and business partners (like Walgreens) that partnered with Theranos. By comparison, people who rented space from WeWork pretty much got what they paid for.
As it happens, investment fraud laws in the US are much, much stricter than consumer fraud/business-partner fraud. So when it came time to throw the book at Elizabeth Holmes, its not surprising that the book thrown was "investor fraud" not "consumer fraud." But if Theranos hadn't opened its product to the public, Elizabeth wouldn't be in trouble.
You don't mention the role of the Board of Directors in protecting the investors. What are your thoughts on how they performed in these companies and what liabilities they might have to the investors?
IMO a much bigger issue is that she defrauded the public, i.e. consumers who used Theranos and business partners (like Walgreens) that partnered with Theranos. By comparison, people who rented space from WeWork pretty much got what they paid for.
As it happens, investment fraud laws in the US are much, much stricter than consumer fraud/business-partner fraud. So when it came time to throw the book at Elizabeth Holmes, its not surprising that the book thrown was "investor fraud" not "consumer fraud." But if Theranos hadn't opened its product to the public, Elizabeth wouldn't be in trouble.