Elizabeth Holmes is the founder and CEO of Theranos. (credit: Fortune Global Forum)
Medical testing company Theranos announced late Thursday evening that its founder and CEO, Elizabeth Holmes, has been banned from operating a blood-testing lab by a federal health care agency for at least two years.
According to a press release, the Centers for Medicare & Medicaid Services (CMS), a government health agency, also revoked the company’s CLIA certificate for its Newark, California lab. The CMS conducted an investigation of the Newark lab in 2015 after media reports began questioning the efficacy of Theranos' methods.
As Ars has reported, in recent months, Theranos has been slammed by media reports and federal inspections that say its blood testing devices don’t work. Amid the revelations, the company’s president stepped down, Theranos voided or corrected tens of thousands of blood test results, and Walgreens dumped its arrangement. Theranos now faces hefty federal sanctions, criminal charges, and several lawsuits from ex-customers. It has seen its valuation drop from $9 billion to just $800 million.
Read 4 remaining paragraphs | Comments
No comments:
Post a Comment