Lawyers for the disgraced entrepreneur Elizabeth Holmes said this week that she would be unable to afford to pay $250 each month to victims of her failed-blood testing start-up, Theranos, after leaving prison.
Ms. Holmes, 39, began an 11-year, three-month prison sentence in Texas in May after she was found guilty last year of four counts of wire fraud and conspiracy for defrauding investors about her company’s technology and business dealings.
Last month, a federal judge in California ordered Ms. Holmes and her former business partner, Ramesh Balwani, to pay $452 million in restitution to investors who were defrauded, including the media mogul Rupert Murdoch.
Federal prosecutors asked the U.S. District Court for the Northern District of California last week to correct “clerical errors” in court records.
One of the suggested corrections would require Ms. Holmes, as part of her restitution, to pay either $250 or at least 10 percent of her earnings, whichever is greater, each month after she is released from prison.
Persons:
Elizabeth Holmes, Holmes, Ramesh Balwani, Rupert Murdoch
Organizations:
U.S, Northern, Northern District of
Locations:
Texas, California, Northern District, Northern District of California