The Silicon Valley house that disgraced ex-Theranos CEO Elizabeth Holmes shared along with her lover has been bought.
Stephen Lam
The luxury house in northern California the place disgraced ex-Theranos executives Ramesh “Sunny” Balwani and Elizabeth Holmes maintained their clandestine love affair for a decade has been bought.
The home within the upscale Silicon Valley enclave of Atherton, Calif. was bought by Balwani this previous January for $15.8 million — double what he paid to purchase out Holmes’ part-ownership of the property 4 years prior, in keeping with The Info.
The 6,800-square-foot house at 227 Park Lane is a one-acre property that boasts 5 bedrooms, seven bogs, a stone courtyard, swimming pool, French provincial structure, a gated entrance, crystal chandeliers, manicured gardens and a one-bedroom visitor home.
Throughout her trial final fall, Holmes, who faces as much as 80 years in jail after she was convicted of defrauding traders, testified that she and Balwani created a restricted legal responsibility firm to purchase the house in July 2013. The couple paid $9 million for the house.
In 2018, Balwani purchased out Holmes, who owned a 50% stake within the LLC, for $7.9 million. The transaction got here below sharp scrutiny from prosecutors at Holmes’ trial, through which Holmes testified that she had acquired no proceeds from the sale, in keeping with the report.
“The timing of the switch of the property, the approaching fees [that Holmes was facing] and the truth that she acquired no consideration for the curiosity within the property…it seems like a legal responsibility safety technique,” tax advisor Robert Willens, informed the publication, calling the sale “a purple flag” for investigators. “Earlier than an opposed judgment is about to be rendered and you might be held chargeable for financial damages, you need to filter out property as shortly as doable.”
On the time they purchased the home, Holmes was CEO of Theranos, the now-defunct healthcare start-up that claimed it had developed a know-how to permit individuals to carry out blood assessments on their very own utilizing a finger prick. Balwani was the corporate’s chief working officer.
Balwani is ready to face trial for his function in fraud and deception associated to blood testing machines that by no means did what they had been claimed to do.
Like his former companion — who was discovered responsible on 4 counts of fraud in January and is out on $500,000 bail whereas awaiting sentencing — he faces a number of counts of wire fraud. Jury choice is at the moment underway in San Jose, Calif.
Throughout her trial, Holmes claimed her ex was bodily, emotionally and sexually abusive.
“He informed me that I didn’t know what I used to be doing in enterprise, that my convictions had been flawed, that he was astonished at my mediocrity and if I adopted my instincts I used to be going to fail,” she testified.
“He would drive me to have intercourse with him after I didn’t need to as a result of he needed me to know he nonetheless beloved me.”
She additionally alleged below oath that he exerted excessive levels of management over her.
Balwani is claimed to have informed Holmes what to eat, estranged her from her household, and put her on a schedule that had her working seven days per week.
In accordance with Slate, he snooped on her textual content messages and hurled “sharp, laborious objects” at her.
Balwani has denied Holmes’ allegations. He has additionally pleaded not responsible to fraud fees.
The federal authorities accused him of “making false claims regarding Theranos’s means to offer correct, quick, dependable and low cost blood assessments and check outcomes.”
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