On June 15, 2018, following an investigation by the U.S. Attorney's Office in San Francisco that lasted more than two years, a federal grand jury indicted Holmes and former Theranos chief operating officer and president Ramesh "Sunny" Balwani on nine counts of wire fraud and two counts of conspiracy to commit wire fraud. Prosecutors allege that Holmes and Balwani engaged in two criminal schemes, one to defraud investors, the other to defraud doctors and patients.[7][56] After the indictment was issued, Holmes stepped down as CEO of Theranos but remained chairperson of the board.[8]
The case is proceeding in the U.S. District Court in San Jose. Holmes and Balwani have pleaded not guilty.[57] They face up to 20 years in prison.[58]