Elizabeth Holmes cannot afford to pay her victims $250 a month when she leaves prison, lawyers for the onetime billionaire and Theranos founder said in a court filing this week.
Holmes has “limited financial resources” and should not be forced to make the payments, the filing said. The move comes a week after the Justice Department filed a motion to correct a “clear error” that left Holmes’ payment schedule for restitution blank.
Holmes is jointly responsible for making $452 million in restitution with Ramesh “Sunny” Balwani, a former business and romantic partner at the defunct blood-testing start-up.
Holmes reported to a Texas prison camp May 30. While incarcerated, she will make restitution payments of $25 every three months, court filings show. She was sentenced to more than 11 years in prison.Holmes should pay victims $250 a month or 10 percent of her wages, whichever is greater, prosecutors argued in court filings. The victim owed the largest sum is RupertThough her wealth was once estimated as high as $4.
Even if Holmes is forced to pay the $250 monthly installments, it’s unlikely to put a dent in the $452 million total owed by her and Balwani to investors. But the size of the monthly payments is not unusual, said Eugene Gorokhov, a defense lawyer specializing in white-collar crime. “The restitution system is designed to be applied generally — one size fits all, ” Gorokhov said. “It obviously breaks down when you apply it to outliers like Holmes who owe an eye-popping amount.”
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Elizabeth Holmes says she can't afford $250 a month restitutionInsider tells the global tech, finance, markets, media, healthcare, and strategy stories you want to know.
Read more »
Elizabeth Holmes objects to government requesting she pay $250 a month to victims after prisonLawyers of Elizabeth Holmes, the disgraced former Theranos CEO, argued in a court filing this week that she has 'limited financial means' and should not be forced to pay $250 a month to victims of her crimes after she is released from prison.
Read more »
Elizabeth Holmes Doesn’t Want to Pay Victims $250 a MonthElizabeth Holmes' lawyers argued in a filing Monday that she has “limited financial means” to pay the $452 million restitution she and her co-founder were ordered to pay at her trial last January.
Read more »
Elizabeth Holmes fights against demands she pay victims $250 a monthA lawyer for the former CEO of the failed blood testing company Theranos said Holmes has 'limited financial means' and should not have to pay.
Read more »
Elizabeth Holmes Says She Can't Pay $250 Monthly Restitution To VictimsThe disgraced founder of the Theranos blood-testing company will have “limited financial resources' upon her release from prison, her lawyers said.
Read more »
Elizabeth Holmes objects to restitution proposal that includes $250 monthly payments after prison releaseLawyers for Elizabeth Holmes are objecting to proposed changes in her case that include $250 monthly payments to victims.
Read more »