Democrats such as Elizabeth Warren had their eye on business and the working class during the first 2020 presidential primary debate in Miami.2020 Electionsread more
The issue over health insurance marked the first stark divide among the candidates, and sparked a heated back-and-forth between many of the candidates on stage.Politicsread more
Huawei's legal chief told CNBC that the company makes "solutions for civil use."Technologyread more
Four candidates mentioned China — but none of the Democratic contenders brought up trade in the debate.Politicsread more
In a strategy to draw attention away from Wednesday's Democratic debate, President Donald Trump's reelection campaign bought out YouTube's "masthead," the leading...2020 Electionsread more
The Federal Aviation Administration said on Wednesday that is has found an issue with the Boeing 737 Max that the manufacturer must address before it lifts the grounding...Airlinesread more
The collapse of the deal potentially ended Sinclair's hopes of building a national conservative-leaning TV powerhouse that might have rivaled Fox News.Mediaread more
Huawei legal chief Song Liuping told CNBC that the company is in the "early phase" of talks with Verizon over paying royalties.Technologyread more
Virginia Sen. Mark Warner breaks down the idea behind a bipartisan bill he introduced to provide more transparency in Big Tech.Technologyread more
U.S. President Donald Trump on Thursday asked India to withdraw retaliatory tariffs that New Delhi imposed this month, calling the duties "unacceptable."World Economyread more
Wi-Fi 6 will be the next-generation wireless standard. Along with 5G, it will represent the next big shift in connectivity and data, said Irving Tan, senior vice president and...Shaping the futureread more
Elizabeth Holmes, founder of embattled blood testing start-up Theranos, has been charged with "massive fraud," the Securities and Exchange Commission said Wednesday.
Theranos said Holmes agreed to settle and pay a $500,000 fine, and will be barred from serving as a director or officer of a public company for 10 years.
In its case in civil court, the SEC alleged that Theranos raised more than $700 million from late 2013 to 2015 while "deceiving investors by making it appear as if Theranos had successfully developed a commercially-ready portable blood analyzer that could perform a full range of laboratory tests from a small sample of blood."
The agency wouldn't comment about whether a criminal investigation is going on.
The SEC said Theranos deceived investors by "hosting misleading technology demonstrations, and overstating the extent of Theranos' relationships with commercial partners," noting that at times Theranos' technology performed could only do about 12 tests of the over 200 tests advertised. The SEC also said former Theranos President Ramesh "Sunny" Balwani and Holmes lied about the extent of Theranos' involvement with the military.
Balwani worked at Theranos from 2009 to 2016, after extending credit to his then-girlfriend Holmes. The pair collaborated closely, the SEC said, with Holmes working on innovation, strategic relationships and the board, while Balwani concentrated on technology and human resources. The SEC said it is also seeking an order requiring Balwani to pay a fine and prohibiting him from acting as an officer or director of a public company.
Balwani's attorney told CNBC he believed the SEC action was "unwarranted," and that Balwani
"accurately represented Theranos to investors to the best of his ability" and "took on significant financial risk investing in Theranos."
Theranos was once considered a high-flying start-up, and Holmes graced major magazine covers, touted as the personification of innovation. But Wall Street Journal investigations over the past five years questioned the efficacy of Theranos' blood testing technology, raising flags for regulators.
Holmes responded to the Journal's investigations in 2015, telling CNBC's Jim Cramer, "This is what happens when you work to change things. First they think you're crazy, then they fight you, and then all of a sudden you change the world," mirroring a quote that's often misattributed to Mahatma Gandhi.
Theranos previously settled a lawsuit with one of its biggest investors, Partner Fund Management, which invested more than $96 million in Theranos in 2014. Holmes has already said she plans to give away shares to the "most significant shareholders."
If Theranos is acquired or "otherwise liquidated," Holmes will not profit from her ownership until over $750 million is returned to investors, the SEC said.
"The Theranos story is an important lesson for Silicon Valley,'' Jina Choi, director of the SEC's San Francisco regional office, said in a statement. ''Innovators who seek to revolutionize and disrupt an industry must tell investors the truth about what their technology can do today, not just what they hope it might do someday.''
Here's the full complaint against Holmes.
— CNBC's Regina Gilgan contributed to this report.