The USA began investigation concerning start-up of the youngest billionaires

U.S. Federal prosecutors launched an investigation in respect of a biotechnology start-up Theranos based the youngest female self-made billionaires in the world Elizabeth Holmes, The Wall Street Journal writes with reference to sources. According to them, the purpose of the investigation is to find out whether the company introduced investors and government officials to mislead.

The investigation is at an early stage, said the sources. According to them, prosecutors began to collect information about Theranos in January-February, sending informal requests. In particular, several investors Theranos has received requests for provision of information about how the company described the patented system blood test which, it claims, to obtain accurate results with just a few drops of blood, said the source publication.

During the investigation it is planned to interview employees of the Department of health of the state of new York, in which Theranos has applied for licenses to conduct analyses throughout the state, as well as representatives of the pharmacy retailer Walgreens Boots Alliance. The company is collaborating with Theranos to 2013, under the terms of the agreement in some pharmacies are centers of Theranos test results.

According to sources The Wall Street Journal, checking in respect of Theranos also the Commission on securities and stock exchanges (SEC) the USA. She studies, has entered the start-up investors astray when they sought the funding, said the sources.

Press Secretary of the SEC, Judith burns declined to comment. So did the Walgreens representative Michael Polzin, the official representative of the Ministry of justice Peter Carr and Abraham Simmons, assistant of the U.S. attorney in San Francisco, where he is under investigation. The representative of the Department of health of the state of new York has not responded to a request for comment. Theranos “continues to work closely with regulators and cooperated fully in all investigations,” said the company.

The company Theranos was founded in 2003, the former student of the Stanford Elizabeth Holmes. She proposed a sophisticated method of analysis of blood, allowing dozens of studies using microscopic volume of biomaterial. The idea of Holmes attracted serious investors such as Draper Fisher Jurvetson, ATA Ventures, and Oracle’s founder, billionaire Larry Ellison. In the latest round of investments in 2014, Theranos, was valued at $9 billion holds the post of CEO of Theranos Elizabeth Holmes owns a controlling stake in the company. American Forbes named her the youngest woman in the world-a billionaire, having earned the status yourself. In early 2016, the magazine evaluated a 32-year-old Holmes at $3.6 billion (No. 435 in the global list of billionaires).

In October 2015 The Wall Street Journal has published an investigation where it was alleged that spends most of Theranos blood tests are not using our own unique technology, and using standard laboratory equipment from other manufacturers. Newspaper with reference to sources wrote that the results of tests on the technology Theranos is significantly different from the results of tests conducted on conventional laboratory equipment, and in internal communications Holmes and staff discussed the need to hide this information

The organization “Centers for health insurance for elderly and poor” (CMS) governing the operation of clinical laboratories, during the inspection revealed violations in Theranos. In April, The Wall Street Journal reported that the regulator is considering the dismissal of Holmes from the business associated with the blood test, for two years.