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Jury selection begins in fraud trial of Theranos founder Elizabeth Holmes – CBC.ca

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Theranos founder Elizabeth Holmes’s claims that she was abused by the company’s chief operating officer, who at the time was her boyfriend, could complicate jury selection in her highly anticipated fraud trial, legal experts said.

The in-person questioning of prospective jurors, up to roughly 170, is expected to begin on Tuesday in federal court in San Jose, Calif.

Holmes, 37, has pleaded not guilty to defrauding Theranos investors and patients by falsely claiming that the company had developed technology to run a wide range of tests on a single drop of blood.

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Known for dressing in a Steve Jobs-style black turtleneck, Holmes herself has long been an object of fascination in Silicon Valley.

Dramatic rise and fall

The meteoric rise and spectacular fall of Theranos turned Holmes from a young billionaire to a defendant who could face years in prison if convicted.

Her lawyers have said she may make the unusual move of taking the stand in her own defence, something that most defendants choose not to do because it opens them up to cross-examination by prosecutors.

Court papers submitted more than 18 months ago and unsealed late Friday revealed that Holmes had accused former Theranos COO Ramesh “Sunny” Balwani of psychological and sexual abuse.

Holmes’s lawyers said her “deference” to Balwani led her to believe allegedly false statements about parts of Theranos that he controlled, including a claim about a partnership with drugstore chain Walgreens.

The lawyers told U.S. District Judge Edward Davila, who is overseeing the case, last year that Holmes was “highly likely” to testify about these claims, court papers show.

Balwani denied allegations of abuse in a 2019 court filing. He is scheduled to be tried on fraud charges related to Theranos after the end of Holmes’s trial.

Holmes became one of the youngest self-made billionaires in the United States by claiming her company, Theranos, had invented a device that could test a single drop of blood for numerous things, quickly and accurately. But prosecutors allege it was all a lie. (Jeff Chiu/The Associated Press)

Lawyers for Holmes and Balwani did not immediately return requests for comment on Monday.

33 potential jurors already excused

Before coming to court, 200 potential jurors filled out questionnaires about their familiarity with Holmes, who has been the subject of two books, two documentaries and a podcast. Thirty-three potential jurors were excused last week, including some who admitted bias.

Christina Marinakis, a jury consultant with IMS, a provider of expert and litigation consulting services, said prosecutors and Holmes’s lawyers have likely combed through potential jurors’ social media posts for their views about abuse, since they generally “don’t like to talk about these things in open court.”

Marinakis said jurors may be reluctant to admit to a tendency to view a claim of abuse as an “excuse” for Holmes’s conduct.

“They may fear they are going to be looked at as misogynists,” she said.

Holmes was 18 years old when she met Balwani, who is 20 years older than her, and started living with him around three years later, according to Bad Blood, Wall Street Journal reporter John Carreyrou’s best-selling book on the Theranos saga. The book chronicles the rise and fall of the company Holmes started at age 19, concluding that she was a “manipulator” whose “moral compass was badly askew.”

Tracy Farrell, a jury consultant who has worked on sexual assault cases involving clergy, said Holmes’s lawyers may favour younger jurors, especially women, who might question any attempt by prosecutors to show the abuse defence as “just another con.”

“It creates a kind of dissonance for women,” Farrell said. “We want to believe them.”

Marc Agnifilo, a New York lawyer, said Holmes’s case had some parallels with that of Martin Shkreli, a former client found guilty in 2017 of bilking investors in his hedge funds.

Before his trial, Shkreli gained notoriety for hiking the price of Daraprim, a drug that treats life-threatening parasitic infections, by more than 4,000 per cent in one day.

Shkreli “inspired this visceral negative reaction that was pretty challenging to keep out of the jury,” Agnifilo said.

Holmes’s lawyers, he said, should seek out “smart, open-minded jurors [who] are not just going to buy into the government’s view of the facts.”

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Clean electricity regulations can be tweaked, but Alberta won't get special deal: Guilbeault – National Post

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Canada's economic growth misses forecasts, backing interest rate pause – Financial Post

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Strikes at 2 more U.S. auto factories to start Friday as UAW ratchets up pressure

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A picketer holds a "UAW On Strike" sign while attempting to block a truck from entering the Ford Motor Co. Michigan Assembly plant in Wayne, Michigan
A picketer holds a ‘UAW On Strike’ sign while attempting to block a truck from entering the Ford Motor Co. Michigan Assembly plant in Wayne, Mich., earlier this month. The autoworkers’ union says 7,000 more workers at two GM and Ford plants are going to walk off the job on Friday at noon ET. (Emily Elconin/Bloomberg)

The United Auto Workers union is expanding its strike against U.S. automakers to two new plants, as 7,000 workers at a Ford plant in Chicago and a General Motors assembly factory near Lansing, Mich., will walk off the job at midday on Friday.

Union president Shawn Fain told workers on a video appearance Friday that negotiations haven’t broken down but Ford and GM have refused to make meaningful progress.

“Despite our willingness to bargain, Ford and GM have refused to make meaningful progress,” Fain said. “That’s why at noon eastern we will expand our strike to these two companies.”

“Not a single wheel will turn without us,” Fain said, adding that the 7,000 soon-to-be picketers are the “next wave of reinforcements.”

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Stellantis, the third major automaker targeted by the union, and the maker of brands like Chrysler, Jeep and Dodge, was spared further action, as Fain said the company’s management has made significant concessions on things like a cost-of-living allowance and a freeze on outsourcing.

The Ford plant in Chicago makes the Explorer and Police Interceptor, as well as the Lincoln Aviator SUV.

The GM plant in Michigan’s Delta Township near Lansing manufactures large crossover SUVs such as the Chevrolet Traverse.

The two new plants join 41 other factories and distribution centres already seeing job action.

So far, the impact on Canada’s auto industry has been muted, as none of the idled factories are major users of Canadian-made components.

Biden says striking autoworkers deserve a ‘significant’ raise

U.S. President Joe Biden visited the United Auto Workers picket line in Detroit on Tuesday, saying the workers deserve a significant raise after sacrifices made during the 2008 financial crisis. Auto companies are doing ‘incredibly well,’ Biden said, ‘and you should be doing incredibly well, too.’

Edward Moya, a strategist with foreign exchange firm Oanda, says that despite the expanded job action, the strike seems to be nearing an “endgame” as the two sides are clearly making slow but steady progress.

“Yesterday, the UAW said they are targeting a 30 per cent pay raise, which is down from the 46 per cent they were asking for in early September,” he said. “Automakers have raised their offer to 20 per cent but were not offering much on retirement benefits. The longer this drags, the more both sides lose, so a deal should be reached in the next week or two.”

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