YouTube2Text

CIJ Logan Symposium 2020: An interview with Theranos Whistleblower Tyler Shultz — Transcript

by The Centre for Investigative Journalism · 10,528 words · 1,772 segments · language en · Watch on YouTube

Full transcript

  1. 0:01[Music]
  2. 0:10so
  3. 0:10welcome my name is delfin algon and i'm
  4. 0:13the executive director of the signals
  5. 0:15network
  6. 0:16and i'm honored to introduce you and
  7. 0:19animate today's conversation
  8. 0:21i would like to thank the logan
  9. 0:22symposium for organizing the
  10. 0:24conversation
  11. 0:25entitled blowing the whistle i would
  12. 0:28like to thank you tyler
  13. 0:30uh for accepting the invitation to
  14. 0:33discuss your experience
  15. 0:35uh with us today so for the full
  16. 0:38disclosure i think i should say that we
  17. 0:40know each other a little bit
  18. 0:42um because we both live normally in the
  19. 0:45san francisco bay area but
  20. 0:47more importantly you have been on the
  21. 0:50board
  22. 0:51of the signals network the non-profit i
  23. 0:54funded
  24. 0:54three years ago and at the signals
  25. 0:58network we support whistleblowers
  26. 1:00who have shared public interest
  27. 1:02information with the press
  28. 1:04and we help we sub-lawyers and
  29. 1:07journalists to work together
  30. 1:09in order to hold powerful interests
  31. 1:11accountable
  32. 1:12so that's kind of i hope why it made
  33. 1:15sense for you to
  34. 1:16accept to help us and now the signals
  35. 1:20network is operational in 11 countries
  36. 1:23the us and 10 european countries
  37. 1:26and that's countries where we support we
  38. 1:29saw blowers who have shared
  39. 1:31information with the press and for some
  40. 1:34logic reason i cannot say publicly where
  41. 1:37they are but
  42. 1:38they are we sablers who are behind
  43. 1:41um some of the major story of our time
  44. 1:44from me to stories to corruption
  45. 1:47to stories linked to the coronavirus
  46. 1:52or health hazards and they shared
  47. 1:55information with
  48. 1:56media like the new york times npr the
  49. 1:59guardian
  50. 2:00bbc der spiegel and so on
  51. 2:03and most of them come to us from
  52. 2:05journalists
  53. 2:06or general counsel of media who advise
  54. 2:09them to
  55. 2:10talk to us if they want to talk to a
  56. 2:13lawyer
  57. 2:13or get legal advice and then we we help
  58. 2:16them
  59. 2:18so and in parallel at the signals
  60. 2:20network we work with media committee
  61. 2:22to protect their sources and to work on
  62. 2:25collaboration
  63. 2:27uh and investigation based on
  64. 2:30information
  65. 2:30provided by we saw blower and we already
  66. 2:33have coordinated the publication of two
  67. 2:36major investigations
  68. 2:38with media in the us and europe like
  69. 2:40didsai
  70. 2:41el mundo media path radio france and so
  71. 2:44on
  72. 2:45and actually the last one was related to
  73. 2:47plasma donation
  74. 2:49and was published in july so
  75. 2:52on our board we have whistleblowers like
  76. 2:54tyler antoine del two
  77. 2:56the looks like swissors or lawyers like
  78. 2:59ben wisner from
  79. 3:00aclu online security expert and so on
  80. 3:03and and they all bring
  81. 3:05expertise and experience in order to
  82. 3:07protect those who
  83. 3:09would take risk to share public uh
  84. 3:11interest in formation
  85. 3:13with the press and to hold powerful
  86. 3:15interests accountable
  87. 3:17and so basically you tyler you hold a
  88. 3:2010 billion dollar company accountable
  89. 3:24teranos and that's quite of a story
  90. 3:27and i'm i'm really excited to to discuss
  91. 3:30it again with you two
  92. 3:31today and for those of you who have not
  93. 3:34read
  94. 3:35the amazing book bad blood written by
  95. 3:38the wall street journal journalist john
  96. 3:40carrera or for those of you who have not
  97. 3:43seen the hbo documentary the inventor
  98. 3:46or for those of you who have not
  99. 3:48listened to
  100. 3:50tyler's podcast thicker than water
  101. 3:53and i i will talk about this podcast a
  102. 3:55lot because i listen to it and it's
  103. 3:57really amazing and i would recommend
  104. 4:00to any everyone to to listen to it
  105. 4:03thicker than water uh uh available on
  106. 4:06audible
  107. 4:08so for all of you who don't know about
  108. 4:11tyler's story
  109. 4:12i will just start by asking tyler to
  110. 4:15to explain the whole process again like
  111. 4:18from being a young uh graduate
  112. 4:21graduate from stanford university hired
  113. 4:24by an exciting company called terranos
  114. 4:28to to be called by the wall street
  115. 4:30journal uh a whistleblower what's
  116. 4:33what was this journey um
  117. 4:36and uh yeah and really from being
  118. 4:39excited to join a company
  119. 4:42to to to leave a
  120. 4:45hell uh and hope and
  121. 4:48thanks god recover from all this so so
  122. 4:52yeah tyler
  123. 4:53sorry again can you tell us your story
  124. 4:56yeah sure i'll uh i'll tell it in the
  125. 4:58briefest way possible so we can dive
  126. 5:00into some other
  127. 5:01other questions but uh yeah so i first
  128. 5:04met
  129. 5:04elizabeth holmes in my grandfather's
  130. 5:06living room because i was a junior at st
  131. 5:08samford university at the time he worked
  132. 5:11at stanford university
  133. 5:13and i got i just got a phone call from
  134. 5:14him one day and he said i have this
  135. 5:16brilliant woman coming over
  136. 5:18to my house for lunch so it'd be great
  137. 5:20if you could come over and just listen
  138. 5:21in on this discussion
  139. 5:22so i had almost no context but i went
  140. 5:24over there and that was the first time
  141. 5:26that i heard elizabeth
  142. 5:28tell the vision of theranos which i
  143. 5:29instantly fell in love with
  144. 5:32so anything that a central laboratory
  145. 5:34could do theranos could do
  146. 5:35by just testing a single drop of blood
  147. 5:38from your fingertip
  148. 5:40and you could do this in point of care
  149. 5:41settings and she mentioned things like
  150. 5:43medevac helicopters
  151. 5:45and battlefields and operating rooms
  152. 5:48and drug stores so it sounded like
  153. 5:52this was a truly revolutionary
  154. 5:54technology
  155. 5:55and on top of that she had this very
  156. 5:56compelling story of dropping out of
  157. 5:58stanford when she was 19 years old
  158. 6:00to start this company so she kind of
  159. 6:02seemed like the female steve jobs she
  160. 6:04even dressed like steve jobs
  161. 6:07um so i definitely fell into the hype
  162. 6:10along with everybody else and i walked
  163. 6:13away from my first meeting with her
  164. 6:14thinking that
  165. 6:15this was something that i absolutely had
  166. 6:17to be involved with
  167. 6:18so i followed up with her and was able
  168. 6:21to get myself
  169. 6:22an internship between my junior and
  170. 6:25senior year of college
  171. 6:26so during my internship i worked in a
  172. 6:29research lab with
  173. 6:32all of my co-workers had never seen a
  174. 6:34theranos device before
  175. 6:36i never saw a theron's device while i
  176. 6:37worked there and i think my
  177. 6:39probably the biggest takeaway from my
  178. 6:42internship was that
  179. 6:43secrecy was taken extremely seriously at
  180. 6:46theranos
  181. 6:47there are barricades up everywhere you
  182. 6:49weren't supposed to talk to other labs
  183. 6:50about what you were working on in your
  184. 6:52lab
  185. 6:53a lot of senior scientists had never
  186. 6:54even seen the product they were working
  187. 6:56on they had never seen that there knows
  188. 6:58technology they didn't even know what it
  189. 6:59was
  190. 7:00um thanos was deep in stealth mode at
  191. 7:03the time nobody supposedly no one
  192. 7:04outside of theranos knew that they were
  193. 7:06even in diagnostics
  194. 7:08um so i kind of felt like i was working
  195. 7:10at the cia almost it's like i couldn't
  196. 7:12say anything about my job
  197. 7:14and then i went back to stanford uh you
  198. 7:17loved it
  199. 7:17you loved working there as an intern i
  200. 7:20did i
  201. 7:20really enjoyed working there as an
  202. 7:22intern um
  203. 7:24i continued to kind of build my
  204. 7:25relationship with elizabeth
  205. 7:27and at that time she was becoming a
  206. 7:29little bit integrated into my family she
  207. 7:31started coming to our family
  208. 7:32christmas parties and birthday parties
  209. 7:35and
  210. 7:36thanksgivings and things like that um so
  211. 7:39it was
  212. 7:39almost like she was becoming one of my
  213. 7:41cousins
  214. 7:43um so my relationship definitely grew
  215. 7:45while i was working
  216. 7:46uh as an intern um
  217. 7:50so then i went back to stanford finished
  218. 7:51up my senior year
  219. 7:53uh spent the summer traveling through
  220. 7:55europe playing guitar on the street had
  221. 7:56a great time and then came back and
  222. 7:58started working full-time at theranos
  223. 8:00and my first day was the day that they
  224. 8:02launched the product
  225. 8:04so finally they came out of stealth mode
  226. 8:06they told the world what they were doing
  227. 8:08how they were going to revolutionize
  228. 8:09healthcare
  229. 8:10so it was a super exciting time for that
  230. 8:12to be your first day as a full-time
  231. 8:14employee
  232. 8:16but at the same time the manager of the
  233. 8:18assay validation team which was the team
  234. 8:20that was in charge of making sure that
  235. 8:21these tests worked
  236. 8:23quit on that same day in a very dramatic
  237. 8:25way i was told she was crying in the
  238. 8:27parking lot
  239. 8:28um and then i had a team meeting with my
  240. 8:32with my manager who essentially told us
  241. 8:34that even though we launched the product
  242. 8:37that there were no tests being run on
  243. 8:39the product
  244. 8:40every test that we collected from the
  245. 8:42first walgreens that launched
  246. 8:44uh was being run on third-party
  247. 8:46equipment or sent out to outside labs
  248. 8:49and on top of that they weren't even
  249. 8:50collecting finger pricks so essentially
  250. 8:52people were going into walgreens
  251. 8:54getting a needle in their arm drawing
  252. 8:55blood they would bring it back to their
  253. 8:57nose their nose would run it on
  254. 8:58third-party equipment or send it to
  255. 9:00labs like ucsf and and quest diagnostics
  256. 9:04and things like that
  257. 9:05um so it was really confusing it was a
  258. 9:08very confusing first day
  259. 9:10and a couple days after that um we got
  260. 9:14an email from
  261. 9:15sunny who was the president and ceo of
  262. 9:17the company
  263. 9:18telling all the research labs that we
  264. 9:20should stop our experiments
  265. 9:22because we were all being moved to this
  266. 9:24assay validation team which was the team
  267. 9:26that had their their manager quit
  268. 9:29and that's when i started working with
  269. 9:30the theranos product and
  270. 9:32right off the bat you can see that
  271. 9:33there's nothing revolutionary about it
  272. 9:35there's
  273. 9:36just a pipet inside of a box so there
  274. 9:38was nothing that that
  275. 9:40theranos device could do that i couldn't
  276. 9:42do with my own hand
  277. 9:44by moving a pipette which is just a
  278. 9:46simple
  279. 9:47liquid handling cheap instrument in
  280. 9:50almost
  281. 9:51every lab in the world so it was very
  282. 9:54underwhelming
  283. 9:55and it could only run one test at a time
  284. 9:58so even if we did
  285. 9:59have 300 tests validated on this system
  286. 10:02if you went and ordered 300 tests
  287. 10:04it would need to be run on 300 different
  288. 10:05devices so so basically that's
  289. 10:08when you were able to see by with your
  290. 10:11own eyes
  291. 10:12that what was promoted by terranos which
  292. 10:15supposedly this
  293. 10:17wonderful new machine who could do 300
  294. 10:20tests
  295. 10:21thanks to one um
  296. 10:27did not did not exist and could do
  297. 10:30not even one test at a time and that was
  298. 10:32when you because you were able to
  299. 10:34be to access the machine which was not
  300. 10:37the case for a lot of
  301. 10:38employees yeah so that was
  302. 10:42a huge red flag um it also wasn't a
  303. 10:44standalone system so you needed to use
  304. 10:46it in combination with other
  305. 10:48um like liquid handling robots um
  306. 10:52and during on your podcast you even say
  307. 10:55that you had to manually close the door
  308. 10:59or make the heat uh go down
  309. 11:02with your hand or yeah it was it
  310. 11:05had some engineering defects so like
  311. 11:08the door that you would put the
  312. 11:10cartridge in sometimes wouldn't close
  313. 11:12so we would have to tape it shut with
  314. 11:14tape um there were barcode scanners on
  315. 11:16the cartridges that
  316. 11:17the device would scan it and they would
  317. 11:18know what tests to run but often the
  318. 11:20barcode scanner wouldn't even work so we
  319. 11:22would rip the
  320. 11:23cart the barcodes off put it on a pair
  321. 11:25of scissors and stick scissors into the
  322. 11:27device and try to get it to scan
  323. 11:28it would often be too hot so we'd cool
  324. 11:30it down we'd open the door try to wave
  325. 11:32our hands sometimes it would be too cold
  326. 11:33and we'd
  327. 11:34have little blankets that we could put
  328. 11:35over it um
  329. 11:37tips would fall off we are talking about
  330. 11:39the machine which is supposed to be the
  331. 11:41gold mine
  332. 11:43of at that time was the company already
  333. 11:46valued at 10 billion dollars it was
  334. 11:50shortly afterwards valued at 10 billion
  335. 11:52i'm not sure what it was valued at when
  336. 11:54i started working there but it was
  337. 11:56you know right around that time it was
  338. 11:58valued at nine billion dollars
  339. 12:00and i think that evaluation came because
  340. 12:02elizabeth was essentially saying
  341. 12:04this revolutionary technology is going
  342. 12:06to upend the entire laboratory
  343. 12:08diagnostics industry
  344. 12:09and quest diagnostics is worth nine
  345. 12:11billion dollars therefore we are worth
  346. 12:13nine billion dollars because we are
  347. 12:14going to take all of their business
  348. 12:16uh so they were very bold and aggressive
  349. 12:18um
  350. 12:19and had really had no technology
  351. 12:23sorry go ahead and tell us about your
  352. 12:25journey working there yeah
  353. 12:27yeah so then there were some a few other
  354. 12:29red flags where
  355. 12:31when regulators came in to actually give
  356. 12:33us
  357. 12:34our clia certifications that we could be
  358. 12:36a certified central laboratory
  359. 12:38they were not shown the room that had
  360. 12:40the theranos devices and the doors to
  361. 12:42the
  362. 12:42to the room that had the theranos
  363. 12:44devices were locked that day we were not
  364. 12:46supposed to go in or out of that room
  365. 12:48so the regulators we got our our clear
  366. 12:50certification without the regulators
  367. 12:52ever seeing a therianos device
  368. 12:54so that was a huge red flag and then we
  369. 12:57were we
  370. 12:57essentially participated in a kind of
  371. 13:00audit
  372. 13:01or like a safety inspection where we're
  373. 13:03supposed to
  374. 13:04test a sample and give the results to a
  375. 13:06third party who knows the answer
  376. 13:08and so when we got that we split it and
  377. 13:10we ran it on the therinos platform
  378. 13:12and third-party equipment and in some
  379. 13:14cases the results were off by more than
  380. 13:16300 percent
  381. 13:17and we reported the results from the
  382. 13:19third party equipment
  383. 13:21even though at that time we were
  384. 13:23actually running patient samples on the
  385. 13:25theranose product
  386. 13:26because after i joined that validation
  387. 13:29team we ended up expanding the test menu
  388. 13:31from zero tests up to seven so by the
  389. 13:33time i left we were running seven tests
  390. 13:34on the theranos platform
  391. 13:37um so all these red flags were kind of
  392. 13:38building up for me
  393. 13:40and so i actually well i talked to a lot
  394. 13:42of my
  395. 13:43my co-workers the senior scientists they
  396. 13:45were all seeing the exact same things
  397. 13:47and
  398. 13:48so i went and i actually confronted
  399. 13:49elizabeth about some of these things
  400. 13:52and she kind of brushed them off a
  401. 13:54little bit said i'll set you up with a
  402. 13:56meeting with a vice president to go over
  403. 13:58these things
  404. 13:58i went and i met with the vice president
  405. 14:01he
  406. 14:02also kind of brushed them off kind of
  407. 14:04said like yeah some things we didn't do
  408. 14:06perfectly but it's not that big of a
  409. 14:08deal
  410. 14:09and i eventually just asked him i said
  411. 14:11do you actually think that this
  412. 14:13test is better than tests that already
  413. 14:15exist
  414. 14:16and he said i don't think we've ever
  415. 14:18claimed to be better than other
  416. 14:20technologies which was mind-blowing to
  417. 14:22me because that was
  418. 14:22that was like the whole point of
  419. 14:24fairness is that we're we're better than
  420. 14:26conventional technologies um but i went
  421. 14:29like
  422. 14:29you said that actually it's the syphilis
  423. 14:32tests
  424. 14:32that made you decide to quit
  425. 14:37yeah so the syphilis test was the one
  426. 14:39that broke the camel's back for me
  427. 14:40because
  428. 14:41i was doing the validation for that test
  429. 14:43so i was making sure it was safe before
  430. 14:45we
  431. 14:45we started running real patient samples
  432. 14:48and i
  433. 14:48saw that our coefficient of variation at
  434. 14:51the cutoff level was 43
  435. 14:54which means that the standard deviation
  436. 14:56was 43
  437. 14:57of the value so the variation was
  438. 15:00enormous
  439. 15:01and then we tested samples that were
  440. 15:03known to be positive for syphilis
  441. 15:04and we only got 65 correct and we pretty
  442. 15:08much pretended like that didn't happen
  443. 15:09and we tried again and we got 80 correct
  444. 15:12the second time
  445. 15:14then we did a study where we compared uh
  446. 15:17results from a finger prick versus a
  447. 15:19venus draw
  448. 15:20and for that we collected samples from
  449. 15:22ourselves and from our colleagues
  450. 15:24and an alarming percentage of us tested
  451. 15:27positive for syphilis
  452. 15:29and we literally laughed about it and
  453. 15:32the manager our manager said
  454. 15:33guys it's not impossible and we
  455. 15:37like no one sent out a company wide
  456. 15:39email no one went and got retested
  457. 15:40everyone just assumed the test didn't
  458. 15:42work
  459. 15:42and so we put all this data together and
  460. 15:44sent it to the statistics team
  461. 15:46and to our surprise it passed validation
  462. 15:49requirements so they said okay this is
  463. 15:51safe and we're going to start testing
  464. 15:52real patients using this test
  465. 15:54and that was the point for me where i
  466. 15:56thought
  467. 15:58i know without a doubt that someone is
  468. 16:00going to be severely hurt
  469. 16:02by this test because if you
  470. 16:05have syphilis and you get tested and you
  471. 16:07test positive and you get treated it's
  472. 16:08not that big of a deal
  473. 16:10but if you get tested and it says you're
  474. 16:12negative when you actually do have it
  475. 16:14you can spread it to other people it can
  476. 16:16eventually become a life-threatening
  477. 16:18disease
  478. 16:19so to me this felt like a really really
  479. 16:21big deal and that's when i went and
  480. 16:22confronted elizabeth
  481. 16:24um and um and when you confronted her
  482. 16:28asking questions and and still trying to
  483. 16:31to make
  484. 16:32terrano's work and do what they were
  485. 16:34saying they were doing i mean i think
  486. 16:36you came to her by saying
  487. 16:38i don't understand and how could we fix
  488. 16:40that
  489. 16:41and the answer was
  490. 16:45see uh uh yeah so i i ultimately wrote
  491. 16:49elizabeth a pretty
  492. 16:50long email where i just said you know
  493. 16:51this is something that i see
  494. 16:53um here's data to support what i see and
  495. 16:56here's something that i think we can do
  496. 16:57to fix it
  497. 16:58and at the end of the email i said i do
  498. 17:00not mean for this to be attacking in any
  499. 17:02way i'm
  500. 17:02committed to the long-term vision of
  501. 17:04this company and i'm worried that
  502. 17:05our current practices will prevent us
  503. 17:07from reaching our bigger goals
  504. 17:10and she forwarded it to sunny and sunny
  505. 17:12responded saying that i was arrogant
  506. 17:14ignorant patronizing reckless had no
  507. 17:16understanding of basic math science or
  508. 17:19statistics and that if i had any other
  509. 17:21last name that i would have already
  510. 17:23been held accountable in the strongest
  511. 17:24way uh which was
  512. 17:27maybe let's take a minute because i
  513. 17:30don't if
  514. 17:31nobody knows about this why your last
  515. 17:34name matters
  516. 17:35here you mentioned briefly that you met
  517. 17:38elizabeth at your grandfather's house
  518. 17:41but you did not describe if someone
  519. 17:44doesn't
  520. 17:44know um why it matters and who is your
  521. 17:48grandfather
  522. 17:49and why in a sense it's a lo your
  523. 17:52grandfather
  524. 17:52allowed you to enter terranos and then
  525. 17:56allowed you a certain
  526. 17:57level of access and protection for time
  527. 18:01yeah that's that's a good point i
  528. 18:03accidentally skipped over that part so
  529. 18:05about the time where i joined full-time
  530. 18:08my grandfather also joined the board so
  531. 18:10we kind of started about at the same
  532. 18:12time i think um
  533. 18:14so who's your grandfather oh yeah and so
  534. 18:17my grandfather
  535. 18:18uh was the secretary of state for ronald
  536. 18:21reagan he was secretary of treasury
  537. 18:23and labor for richard nixon um
  538. 18:26so he's been yeah so he had a long
  539. 18:29career in in politics
  540. 18:31and also he was he's also the ceo of
  541. 18:33bechtel corporation which is a really
  542. 18:34big
  543. 18:35um and i mean you say you say it in a
  544. 18:39very wikipedia
  545. 18:40way uh but the the reality is that
  546. 18:44it means that when you were a kid uh you
  547. 18:47played with your bicycle in the in the
  548. 18:50foot of gorbachev that uh
  549. 18:53president bush was hanging out at your
  550. 18:54grandfather's garden
  551. 18:56so yeah that's that's what it means
  552. 19:01yeah so it was kind of funny because i i
  553. 19:03had a very very normal
  554. 19:05california life you know i my my dad was
  555. 19:08a high school biology teacher my mom was
  556. 19:10a nurse
  557. 19:11um and then we would kind of go from
  558. 19:14that world into my grandfather's world
  559. 19:16where it's like okay we're having dinner
  560. 19:17with henry kissinger and
  561. 19:19you know on one occasion uh we ended up
  562. 19:22sitting in the backyard with george bush
  563. 19:24he was going to go speak at stanford but
  564. 19:25there were protests that prevented him
  565. 19:27from getting there so he went to my
  566. 19:28grandfather's house where we just
  567. 19:29happened to be
  568. 19:30and so we just hung out with george bush
  569. 19:32for about an hour in my
  570. 19:34grandfather's backyard while he was the
  571. 19:36president
  572. 19:37um so yeah it's definitely had some
  573. 19:39unique experiences
  574. 19:40yeah so that's worth taking a second to
  575. 19:43explain with your grandfather
  576. 19:44yeah yeah and then yeah so then he
  577. 19:47joined the board of theranos and
  578. 19:49when he joined he also brought a lot of
  579. 19:51his his friends over so he
  580. 19:53he brought over um people like jim
  581. 19:55mattis who was the soon-to-be
  582. 19:57secretary of defense uh henry kissinger
  583. 20:00another former secretary
  584. 20:02of state um and a hand a handful of
  585. 20:05others
  586. 20:06as well so basically when you brought up
  587. 20:09your concerns in a very factual
  588. 20:11non-aggressive way to elizabeth you got
  589. 20:14an answer from
  590. 20:15um sunny was the the president of the
  591. 20:18company saying
  592. 20:20if you were not who you are we we would
  593. 20:22have smashed you
  594. 20:24something like that yeah but he was very
  595. 20:26vague about it he said
  596. 20:28would have been held accountable in the
  597. 20:29strongest way
  598. 20:31which is like does that mean fired or
  599. 20:33does that mean something worse
  600. 20:35i don't know but you kind of get a sense
  601. 20:37of what it meant
  602. 20:38when you answered to him and what did
  603. 20:41you answer
  604. 20:43uh so i just said consider this my two
  605. 20:45weeks notice
  606. 20:46um if you prefer i leave today that's
  607. 20:48fine with me as well
  608. 20:50and unsurprisingly they preferred that i
  609. 20:52left that day
  610. 20:53so yeah so that was the
  611. 20:57the end of your work experience so you
  612. 20:59worked there for eight months and
  613. 21:01you work a lot you work night shifts and
  614. 21:04you
  615. 21:05yeah i work around the clock often
  616. 21:08um actually there's one more detail that
  617. 21:11i think is pretty important to our
  618. 21:12conversation and that is
  619. 21:14that i actually reached out to the new
  620. 21:16york state department of health
  621. 21:17yes about one of my concerns and when i
  622. 21:21did that
  623. 21:21i was you know i knew how seriously
  624. 21:24theranos took all their their secrets
  625. 21:26so i did not want that to be traced back
  626. 21:28to me
  627. 21:29um so i made up a fake email account and
  628. 21:32i contacted new york state department of
  629. 21:34health and i didn't even tell them where
  630. 21:35i worked i didn't tell them what tests
  631. 21:37we were running i was
  632. 21:38very very vague i just said that these
  633. 21:40were i just described the processes
  634. 21:42that had taken place and they responded
  635. 21:46and said this is a form
  636. 21:47this is a violation of our of our
  637. 21:49regulations it's a form of cheating on
  638. 21:51that audit that i
  639. 21:52i previously described and they asked
  640. 21:55for the name of the company so that they
  641. 21:56could reach out to them to improve
  642. 21:58their practices and i asked if i could
  643. 22:01do that anonymously
  644. 22:02and they said only if i reported it to
  645. 22:04what they called the laboratory
  646. 22:06investigative unit
  647. 22:07um and so they gave me that email and so
  648. 22:10i a non
  649. 22:11i'm anonymously with a fake email um
  650. 22:15so my my fake alias was anonymous i
  651. 22:19emailed this laboratory investigative
  652. 22:21unit and
  653. 22:22i never heard back yeah and
  654. 22:26years later john kerry who i'm sure we
  655. 22:29are going to talk about here pretty soon
  656. 22:31um followed up with them and he says
  657. 22:34that essentially what happened was
  658. 22:35they thought that this was a federal um
  659. 22:39like a federal matter not a new york
  660. 22:41state matter
  661. 22:42and so they forwarded the complaint to
  662. 22:44the center of medicare and medicaid
  663. 22:46services so cms
  664. 22:48is the overarching regulatory bottle for
  665. 22:51uh body for
  666. 22:52central laboratories and cms says that
  667. 22:55they
  668. 22:56never received the complaint so
  669. 22:58laboratory investigating
  670. 22:59unit says they send it to cms cms says
  671. 23:01they never saw it
  672. 23:04so yeah let's go back to the failure of
  673. 23:07regulators
  674. 23:08later but let's let's move on so you you
  675. 23:11quit sternos
  676. 23:12uh in april 2014 then
  677. 23:16things go okay for a while
  678. 23:20for a while until i have thanksgiving
  679. 23:22dinner with her after that
  680. 23:24yeah um awkward
  681. 23:27mommy a little bit awkward yeah and then
  682. 23:32then when did so you have a new job
  683. 23:36you're happy you have a good life thanos
  684. 23:39is behind you just this
  685. 23:40awkward relationship with elizabeth and
  686. 23:42your grandfather
  687. 23:44but no crisis
  688. 23:47and then what what's happened yeah so i
  689. 23:50thought fairness was completely behind
  690. 23:52me
  691. 23:53um and then john kerry reached out to me
  692. 23:57on linkedin
  693. 23:58um and he just after you checked his
  694. 24:01profile he saw that yeah so the slightly
  695. 24:03longer story
  696. 24:05yeah that is that john reached out to a
  697. 24:08few other
  698. 24:08theranos former theranos employees who
  699. 24:10told me they
  700. 24:11said oh look this investigative
  701. 24:13journalist is reaching out to me about
  702. 24:14their nose
  703. 24:15so then i looked at his linkedin page
  704. 24:17just to kind of see what his background
  705. 24:18was
  706. 24:19he saw that i looked at his linkedin
  707. 24:20page and then messaged me
  708. 24:23um and i ignored him for about a month i
  709. 24:26talked to
  710. 24:27um one of my former managers at theranos
  711. 24:29about it i talked to my parents about it
  712. 24:31everyone said don't talk to him you're
  713. 24:34only going to create a whole lot of
  714. 24:35trouble for yourself stay out of it move
  715. 24:37on with your life
  716. 24:38and so i tried to do that for about a
  717. 24:40month but i had
  718. 24:41i just every single day i was thinking
  719. 24:43about what he knew
  720. 24:45what the angle of the story was and if
  721. 24:47there was basically a way that i could
  722. 24:49help
  723. 24:49and it just i tried so hard to not talk
  724. 24:52to him but it was like a compulsion i
  725. 24:53just had to
  726. 24:55so eventually i bought a burner phone
  727. 24:57with cash
  728. 24:58and i called him and i was surprised at
  729. 25:02how open he was with me about what he
  730. 25:04knew
  731. 25:05because up up until that point every
  732. 25:07time i talked about theranos with
  733. 25:08someone we would
  734. 25:09literally be checking our shoulders to
  735. 25:10see who would be listening everyone was
  736. 25:12very very guarded and he just kind of
  737. 25:15laid out all of these problems that i
  738. 25:17i've already kind of laid out here and
  739. 25:20he said that
  740. 25:22he had a source that was well above my
  741. 25:24pay grade
  742. 25:25and he was really looking for
  743. 25:27corroborating sources
  744. 25:29and in that call i told him that my
  745. 25:31grandfather was part of the nixon
  746. 25:33administration during watergate
  747. 25:35part of the reagan administration during
  748. 25:36the iran contra scandal
  749. 25:38and made it out of both of those with
  750. 25:40his integrity completely intact
  751. 25:42so i was sure that if he was given the
  752. 25:44opportunity that he would make things
  753. 25:46right with the people that elizabeth has
  754. 25:47hurt
  755. 25:48and i would want the truth about
  756. 25:49theranos to come out sooner rather than
  757. 25:51later so i agreed to be a deep
  758. 25:53background source for his reporting
  759. 25:55yeah so he explained to you okay you
  760. 25:57could be of the record
  761. 25:58on background or on the record and you
  762. 26:01agreed to be
  763. 26:02on background right i agreed to be
  764. 26:04background yeah
  765. 26:07um at that moment and then
  766. 26:12things start to go bad
  767. 26:16sideways yeah i thought that i would be
  768. 26:18i thought that i could stay anonymous
  769. 26:20forever i thought oh burner phone with
  770. 26:21cash no one can ever figure out that
  771. 26:24that i i spoke to him so then
  772. 26:27you said that basically when you talked
  773. 26:29to john he was pretty advanced in his
  774. 26:31own investigations
  775. 26:33so quickly after that he sent question
  776. 26:36to
  777. 26:37tejanos yeah so i ended up
  778. 26:40forwarding him the email exchange that i
  779. 26:43had with elizabeth and sunny
  780. 26:46and he used one number from that email
  781. 26:48to probe theranos he said
  782. 26:51like one of my sources said that for tsh
  783. 26:53the coefficient of variation is as high
  784. 26:55as 42.9 percent
  785. 26:57and they saw that 42.9 and said that
  786. 27:00came from tyler schultz
  787. 27:02and uh so i i ended up actually going
  788. 27:06home to have dinner with my parents one
  789. 27:07night and my dad had just gone off the
  790. 27:09phone with my grandfather and he said
  791. 27:11that
  792. 27:11theronos knows that i was speaking to
  793. 27:13the wall street journal
  794. 27:15and i said there's no way they actually
  795. 27:16know this is a real reporter
  796. 27:18i did my research on him
  797. 27:22and he had actually won a pulitzer prize
  798. 27:25before so this was not like uh and he
  799. 27:28investigated health care
  800. 27:30and he got an impact from his
  801. 27:32investigations so yeah you're trying
  802. 27:34right
  803. 27:35i i didn't just willingly pick up the
  804. 27:37phone and start blabbing about their
  805. 27:39nose i made sure that it was somebody
  806. 27:41who
  807. 27:41would actually be responsible with the
  808. 27:43information beforehand
  809. 27:44so i told my parents there's no way they
  810. 27:46actually know there's no way the
  811. 27:47reporter just gave me up like that
  812. 27:49there's just no way
  813. 27:51so i uh i ended up calling my
  814. 27:53grandfather and and he
  815. 27:55he said that um in order to protect
  816. 27:57their trade secrets theranos needed me
  817. 27:59to sign a one-page non-disclosure
  818. 28:01agreement
  819. 28:03uh which sounded kind of weird but i
  820. 28:04said sure that's fine with me
  821. 28:07but before i talk to the fairness
  822. 28:09lawyers tomorrow morning can i just come
  823. 28:10over to your house and talk to you
  824. 28:12tonight and he said yeah sure no problem
  825. 28:16so i went over to his house i rehashed
  826. 28:18all my old conversations with him
  827. 28:20he said that elizabeth assured him that
  828. 28:22they were going above and beyond what
  829. 28:24was required of them from the fda
  830. 28:26and and that he spoke to surgeons who
  831. 28:29said it was it would revolutionize the
  832. 28:31field of surgery and
  833. 28:32that these devices were already being
  834. 28:34used in medevac helicopters and they're
  835. 28:36already being used
  836. 28:38in operating rooms at ucsf and so the
  837. 28:41difference in reality was just so
  838. 28:44large that there was no way we were
  839. 28:45going to find common ground
  840. 28:47and he said well whatever the case may
  841. 28:48be well you sign a one-page
  842. 28:50non-disclosure agreement
  843. 28:52and i said yes i have no problem signing
  844. 28:54that and so he said
  845. 28:55well actually there's two lawyers here
  846. 28:57right now can i go get them
  847. 28:59and i was completely blindsided by that
  848. 29:01he went and got the lawyers
  849. 29:03and they did not give me a one-page
  850. 29:05non-disclosure agreement they gave me a
  851. 29:07notice to appear in court on friday
  852. 29:09morning
  853. 29:10and this was a wednesday night they gave
  854. 29:12me a an application for a temporary
  855. 29:14restraining order
  856. 29:16and they gave me a strongly worded
  857. 29:18letter signed by david boyce
  858. 29:20who i did not know at the time
  859. 29:23and so that's kind of surprised your
  860. 29:25grandfather and at that moment he kind
  861. 29:27of went on your side by saying hey
  862. 29:29that's not what
  863. 29:30we talked about yeah so i argued with
  864. 29:33their lawyers for a long time
  865. 29:34and then eventually my grandfather got
  866. 29:36frustrated and kind of kicked them out
  867. 29:37of the house
  868. 29:38and then we called elizabeth and he said
  869. 29:41we were trying to have a discussion you
  870. 29:42sent over our litigator
  871. 29:44tomorrow i want you to send different
  872. 29:46lawyers and i want you to send a
  873. 29:47non-paid the one-page non-disclosure
  874. 29:49agreement like we had discussed
  875. 29:52but of course the next day comes and the
  876. 29:54same two lawyers come over to his house
  877. 29:56they bring an affidavit not a
  878. 29:58non-disclosure agreement
  879. 29:59which essentially says my name is tyler
  880. 30:01schultz i'm 24 years old
  881. 30:03i have not spoken to the wall street
  882. 30:04journal but here's a list of names of
  883. 30:06people who i know have
  884. 30:08and i was i was adamant with them at
  885. 30:10that point that i had not spoken to the
  886. 30:11wall street journal i
  887. 30:13i did not want to tell them that yeah
  888. 30:15and so we ended up bickering over that
  889. 30:17for a while
  890. 30:18um i ended up not signing it and i to
  891. 30:21make a long story a little bit shorter i
  892. 30:23ended up
  893. 30:24getting connected with a legal team and
  894. 30:27for probably about four months it seemed
  895. 30:30like
  896. 30:30within two or three or four days we were
  897. 30:33going to be in a courtroom battle with
  898. 30:35their nose
  899. 30:36and theranos hired private investigators
  900. 30:39to follow me
  901. 30:40and my legal team and they hired uh
  902. 30:44this lawyer david boyce and that that's
  903. 30:48maybe worth explaining why it was such a
  904. 30:50big warning sign when you tell any
  905. 30:52lawyer that that's the lawyer on the
  906. 30:54other side
  907. 30:56yeah so um when i'm given that first
  908. 30:59affidavit i eventually just said you
  909. 31:01know
  910. 31:02elizabeth has had lawyers look at this
  911. 31:04with her best interests in mind so now i
  912. 31:06want to have a lawyer look at this with
  913. 31:07my best interest in mind
  914. 31:09and my grandfather was very frustrated
  915. 31:11and said okay
  916. 31:12and so he said if his personal attorney
  917. 31:15said it was okay to sign would i sign it
  918. 31:17i said sure
  919. 31:18so he went to go fax the affidavit and i
  920. 31:21went outside and i called
  921. 31:22his lawyer and i said my grandfather's
  922. 31:25about to send you something and he's
  923. 31:26going to tell you to tell me that i have
  924. 31:27to sign it
  925. 31:28but you have to tell him that i cannot
  926. 31:30sign it he's just kind of like
  927. 31:32whoa whoa okay uh slow down
  928. 31:36who's representing them and i said
  929. 31:38someone named david
  930. 31:39boyas and he just went holy
  931. 31:43[ __ ] do you know who that is
  932. 31:46and he described how he um has been
  933. 31:49involved in so many high-profile cases
  934. 31:51like
  935. 31:52uh gore v bush napster versus the
  936. 31:55the u.s government um he
  937. 32:01yeah harvey one scene and he was
  938. 32:02involved in hiring private investigators
  939. 32:04to follow around the women
  940. 32:06involved in that story um now he's
  941. 32:09representing jeffrey epstein's victims
  942. 32:12which is
  943. 32:13the other side of the coin harvey
  944. 32:14weinstein epstein's victims
  945. 32:16but basically he's known to be a
  946. 32:18corporate gun or something like that
  947. 32:20yeah he's i was told that he's known as
  948. 32:23the number one corporate gun
  949. 32:25in america
  950. 32:28so as soon as your family lawyer here
  951. 32:31his name is like okay
  952. 32:32come to my office we need to to do
  953. 32:35proper legal work
  954. 32:37right so then i i went and told the
  955. 32:39fairness lawyers
  956. 32:40i i said this lawyer says i need to go
  957. 32:42to san francisco to to talk with him and
  958. 32:44i was in palo alto just
  959. 32:45like 45 minutes away and they said okay
  960. 32:48you can go consult with this lawyer but
  961. 32:49you need to be back here
  962. 32:51at two o'clock you need to be back here
  963. 32:53at two o'clock
  964. 32:54and i said yes i will be back here at
  965. 32:55two o'clock and i went and i met with
  966. 32:57this lawyer
  967. 32:58and he's he just goes there's no way
  968. 33:00you're gonna go meet with them at two
  969. 33:02o'clock
  970. 33:03there's no chance and basically that was
  971. 33:05this first day
  972. 33:07of months of legal
  973. 33:10hell yeah so being threatened
  974. 33:14to go to court any time pressure
  975. 33:17you you were tipped that you were
  976. 33:19followed
  977. 33:21uh you could not talk to your parents
  978. 33:23about what was going on
  979. 33:24you were you had many legal teams you
  980. 33:28were spending a fortune on lawyers
  981. 33:31yeah i i was um yeah so i went to bed
  982. 33:35that first night with a notice to appear
  983. 33:37in court the following morning
  984. 33:39and when i woke up i luckily had an
  985. 33:41email from the fairness lawyers saying
  986. 33:42that they would give me more time to
  987. 33:44negotiate
  988. 33:45and that started this cycle of we're
  989. 33:47going to court and i would think all
  990. 33:49right we're going to court and then they
  991. 33:50would say we're going to give you more
  992. 33:51time to negotiate and it was just like
  993. 33:53that
  994. 33:54on cycle for months
  995. 33:57um and so yeah i ended up racking up
  996. 34:00hundreds of thousands of dollars in
  997. 34:02legal fees my parents
  998. 34:04said that if we did end up going to
  999. 34:06court that they would
  1000. 34:08have to sell their house to pay for my
  1001. 34:09legal fees but that that
  1002. 34:11but they were totally willing to do that
  1003. 34:14but they begged me
  1004. 34:15not to make them do that they just said
  1005. 34:17sign whatever it is they're asking you
  1006. 34:19to sign this is not your battle
  1007. 34:21and essentially i just i said that i was
  1008. 34:25not going to sign the affidavits that
  1009. 34:27theranos was pressuring me to sign
  1010. 34:29because i wasn't going to sign something
  1011. 34:32under penalty of perjury that i knew was
  1012. 34:34not true
  1013. 34:35and i'm not allowed to say exactly what
  1014. 34:37was in those affidavits
  1015. 34:39but that's just of it is i wasn't gonna
  1016. 34:42say something that was not true
  1017. 34:43under penalty of burglary and they were
  1018. 34:45asking me to say things that i did not
  1019. 34:47believe were true
  1020. 34:49so awful or full summer
  1021. 34:52and then the article comes out
  1022. 34:56yeah so finally the wall street journal
  1023. 34:58article comes out
  1024. 35:00and i've just been waiting and waiting
  1025. 35:01and waiting for it
  1026. 35:03um as as it comes close to publication i
  1027. 35:07think a lot of the pressure is relieved
  1028. 35:09off of me
  1029. 35:10and fairness kind of realizes that they
  1030. 35:11have bigger problems than me
  1031. 35:14that becomes especially true after the
  1032. 35:16article comes out
  1033. 35:17but even after that article came out
  1034. 35:19they did not go down they
  1035. 35:21they went down swinging so but first
  1036. 35:25the arctic so you you're scared and i'm
  1037. 35:28at the same time excited to know the
  1038. 35:29articles comes out and what's your
  1039. 35:31reaction what do you think when the
  1040. 35:32articles comes up
  1041. 35:34yeah so my initial reaction and i've
  1042. 35:37actually not talked to john about this
  1043. 35:38i'm curious what
  1044. 35:40he would say but my initial reaction was
  1045. 35:42that the first
  1046. 35:43article was was pretty weak because i
  1047. 35:46knew
  1048. 35:47that john had way more information than
  1049. 35:50what appeared in that first article
  1050. 35:52and when i read it i was terrified
  1051. 35:54because i thought
  1052. 35:55what is in this article is not going to
  1053. 35:57bring theranos down
  1054. 35:58they're going to recover and when they
  1055. 36:00do they're going to
  1056. 36:02destroy me they are going to you know
  1057. 36:04it's interesting because
  1058. 36:05most of the whistleblower i worked
  1059. 36:08around the
  1060. 36:08investigation i can feel that they're a
  1061. 36:11little disappointed when
  1062. 36:13sometimes the articles comes out because
  1063. 36:14they feel like come on you know much
  1064. 36:16more why didn't you put it out there
  1065. 36:19yeah generally they're happy because
  1066. 36:21also it's a fair
  1067. 36:22portrait but right yeah so
  1068. 36:26just to the side notes but what i didn't
  1069. 36:28quite realize was that
  1070. 36:29john had articles that were already
  1071. 36:32planned and in the works and it was an
  1072. 36:34ongoing story i for some reason in my
  1073. 36:36mind i thought it was there was going to
  1074. 36:37be one article and then it was going to
  1075. 36:39be done
  1076. 36:40and he had also probably his own legal
  1077. 36:43restraint
  1078. 36:44and yeah i'm sure he did i'm sure he did
  1079. 36:47um but over the course of the correction
  1080. 36:50was not the right one in a sense because
  1081. 36:52then
  1082. 36:52a lot of other articles came out and
  1083. 36:55other
  1084. 36:56media picked up yeah and it just got
  1085. 37:00worse
  1086. 37:00and worse and worse and for a while
  1087. 37:04i think theranos was threatening to like
  1088. 37:06sue the wall street journal they were
  1089. 37:07sending them cease and desist letters
  1090. 37:09they were fighting every article that
  1091. 37:10came out
  1092. 37:11and eventually i think they just kind of
  1093. 37:14gave in they stopped sending those to
  1094. 37:15the wall street journal and
  1095. 37:18but also because the regulators woke up
  1096. 37:21yeah yeah so they ended up being
  1097. 37:24investigated by
  1098. 37:26the fda and the center for medicare and
  1099. 37:29medicaid services and they ended up
  1100. 37:30saying that
  1101. 37:31um theranos had practices that
  1102. 37:34jeopardized
  1103. 37:35patients health so they weren't allowed
  1104. 37:37to run a lab for two years
  1105. 37:38something like that then the sec ended
  1106. 37:41up investigating and said that thanos
  1107. 37:43was guilty of a massive years-long fraud
  1108. 37:45prevented her from running a publicly
  1109. 37:47traded company for 10 years
  1110. 37:49gave her a little fine um and
  1111. 37:53the department of justice has also been
  1112. 37:55investigating and that is still an
  1113. 37:56ongoing matter
  1114. 37:57so it's i mean to this day it's actually
  1115. 38:00still a developing story
  1116. 38:02yeah and actually i found it fascinating
  1117. 38:06that
  1118. 38:07you said in your podcast that then
  1119. 38:10you've you considered that your decision
  1120. 38:13to speak
  1121. 38:13on the record was one of the best
  1122. 38:16decision you
  1123. 38:17you took and i found it fascinating and
  1124. 38:19i'm even
  1125. 38:20wondering and you also said that you
  1126. 38:22don't have any regret
  1127. 38:23going through all that i'm i'm actually
  1128. 38:26wondering don't you regret
  1129. 38:27that you should have speak on the record
  1130. 38:30earlier
  1131. 38:33um sorry i think i went
  1132. 38:36on the record at the right time going on
  1133. 38:39the record earlier for me i think would
  1134. 38:41have just made
  1135. 38:42it so much worse i think it would have
  1136. 38:45been
  1137. 38:46even more of a disaster i think if i
  1138. 38:47went on the record from the
  1139. 38:49very get-go i think fairness would have
  1140. 38:51sued me i think i would have spent
  1141. 38:53two million dollars in a courtroom
  1142. 38:55instead of a few hundred thousand
  1143. 38:57staying out of a courtroom
  1144. 38:59i really do believe that but why do you
  1145. 39:02believe it was the best decision of your
  1146. 39:04life one of the best to speak on the
  1147. 39:07record
  1148. 39:08i think it was one of the best because i
  1149. 39:10was so incredibly
  1150. 39:12stressed and depressed and angry and
  1151. 39:15even after the wall street journal came
  1152. 39:17out with their first article
  1153. 39:19in october 2015 so
  1154. 39:22a year after the wall street journal
  1155. 39:25article
  1156. 39:25first came out my grandfather was still
  1157. 39:27on the board the board released a
  1158. 39:29statement saying that it had
  1159. 39:30that elizabeth had their full support um
  1160. 39:34and i felt like they were still pushing
  1161. 39:36me around so i learned
  1162. 39:39so about a after not talking to john for
  1163. 39:42about a year
  1164. 39:43he came to the stanford university
  1165. 39:45campus where i was working at the time
  1166. 39:47and i ended up going to meet up with him
  1167. 39:50and
  1168. 39:51a couple days later the theronos lawyers
  1169. 39:53told me that they were aware that i was
  1170. 39:54meeting with the wall street journal
  1171. 39:56reporter again
  1172. 39:57so to me that meant that oh after
  1173. 40:01over a year they still had private
  1174. 40:03investigators either following me
  1175. 40:05or following john they had some source
  1176. 40:07that was keeping tabs on us
  1177. 40:08and that just pissed me off to be frank
  1178. 40:11um i felt like i had been proven to be
  1179. 40:13right and the fact that they were still
  1180. 40:15bullying me
  1181. 40:16just pissed me off and i felt i hadn't
  1182. 40:18told the story
  1183. 40:20of the the lawyers hiding in my
  1184. 40:22grandfather's
  1185. 40:23yeah and i felt like i had this great
  1186. 40:26story that they should they should be
  1187. 40:28terrified of me they should be
  1188. 40:29respecting
  1189. 40:30they should be respecting me i've been
  1190. 40:31proven to be right and they weren't they
  1191. 40:32kept pushing me around
  1192. 40:34and so eventually i just felt like why
  1193. 40:37am i the one who
  1194. 40:38feels like they need to hide theranos
  1195. 40:39needs to hide
  1196. 40:41and i'm i'm not ashamed of anything that
  1197. 40:44i've done
  1198. 40:45i everything that i've done i'm happy
  1199. 40:46for that to be public
  1200. 40:48so i'm going on the record with
  1201. 40:50everything that i've done i'm gonna put
  1202. 40:51my name to this story
  1203. 40:53and i'm gonna stand up for myself i'm
  1204. 40:55not gonna hide anymore
  1205. 40:56and after i did that it was a it was
  1206. 40:59just a huge relief
  1207. 41:01so when was the article
  1208. 41:04published with you on the record uh
  1209. 41:08i went on the record that was uh
  1210. 41:11november 16th 2016. so one year
  1211. 41:14after the first article published by a
  1212. 41:17little more after
  1213. 41:18a little longer than one year and part
  1214. 41:20of the reason i did that also was
  1215. 41:22because my grandfather was on the board
  1216. 41:25and
  1217. 41:26i thought that's fine like if he wants
  1218. 41:28to make the decision to support them
  1219. 41:30that's i came to terms with that i said
  1220. 41:32that's fine with me that he's made that
  1221. 41:34choice
  1222. 41:35but i'm going to make him do it publicly
  1223. 41:37so
  1224. 41:38that was part of my my reasoning and
  1225. 41:41once i went on the record he did resign
  1226. 41:43from the board
  1227. 41:45and then david boyce also resigned and
  1228. 41:47that kind of opened the door
  1229. 41:48like the floodgates for their whole
  1230. 41:50board kind of resigning
  1231. 41:52so basically the the you talking on the
  1232. 41:55record
  1233. 41:55is kind of the beginning of the end of
  1234. 41:57your trouble
  1235. 41:59it really was yeah um
  1236. 42:02i could finally tell my friends about
  1237. 42:04what i was going through because
  1238. 42:06i was supposed to keep all you know my
  1239. 42:08legal troubles to myself not tell
  1240. 42:10anybody about anything that was going on
  1241. 42:12and i did that and so i wasn't talking
  1242. 42:14to anybody so finally i could talk to my
  1243. 42:16friends i could talk to my girlfriend
  1244. 42:18talk to my parents more openly my
  1245. 42:20siblings it was just a huge relief for
  1246. 42:22me to not have to
  1247. 42:24keep all this bottled up yeah
  1248. 42:27and it was also that that moment that
  1249. 42:30your grandfather had to resign
  1250. 42:33and uh it's yours where you started
  1251. 42:36slowly to
  1252. 42:37speak again and that was also the way to
  1253. 42:41to getting back together as a grandson
  1254. 42:44and grandfather
  1255. 42:46um but maybe let me i am
  1256. 42:49i want to ask you what what did you
  1257. 42:53learn from talking and working with
  1258. 42:57a journalist like john and if you had
  1259. 43:00any advice for other potential
  1260. 43:04tech worker or who's thinking of maybe
  1261. 43:08share some
  1262. 43:09important information with the
  1263. 43:11journalists
  1264. 43:12what do you think they should know or
  1265. 43:16yeah well i think the the big thing is
  1266. 43:20um you have to be able to trust this
  1267. 43:21person so you gotta do
  1268. 43:23a lot of research and one of the things
  1269. 43:25that that i did like i mentioned before
  1270. 43:26i researched i read his past
  1271. 43:28his past work i knew that he had won a
  1272. 43:30pulitzer prize so i knew he was a
  1273. 43:31serious reporter so
  1274. 43:33when there came the time when i was kind
  1275. 43:35of being told that the reporter kind of
  1276. 43:37gave you up i knew that that couldn't
  1277. 43:38have been true and so i
  1278. 43:40i was con i was confident in my
  1279. 43:42relationship with
  1280. 43:43john kerry roo and i think it's
  1281. 43:45important to have that
  1282. 43:46so um and we had we had also met
  1283. 43:50um beyond that first phone call he flew
  1284. 43:52out to
  1285. 43:54california and we had had met up over a
  1286. 43:56beer
  1287. 43:58um and so i didn't know him that well
  1288. 44:00but i i knew him well enough to know
  1289. 44:01that i could trust him that he wasn't
  1290. 44:03going to just
  1291. 44:04hand me over and then i think another
  1292. 44:07thing is that you have to be confident
  1293. 44:09that this reporter is going to
  1294. 44:10going to see it through till the end
  1295. 44:12yeah and what i didn't know at the time
  1296. 44:15but learned later was that there was an
  1297. 44:17enormous amount of pressure on the wall
  1298. 44:18street journal to kill the story
  1299. 44:21david boyce went over there they had
  1300. 44:23very very long
  1301. 44:25conversations where threatening them
  1302. 44:28um right john described that in his book
  1303. 44:31i remember
  1304. 44:32yeah um there's some like little
  1305. 44:35recordings of it show up in the
  1306. 44:36documentary the inventor
  1307. 44:38which is pretty enlightening to actually
  1308. 44:40get to hear parts of those conversations
  1309. 44:43um and then elizabeth so rupert murdoch
  1310. 44:46who owns the wall street journal
  1311. 44:48invested 125 million dollars
  1312. 44:50in theranos and so elizabeth went to
  1313. 44:53rupert murdoch
  1314. 44:54i was told on multiple occasions and
  1315. 44:57pleaded with him to kill the story
  1316. 45:00um so there was a lot of pressure on
  1317. 45:02john and for that newsroom to
  1318. 45:04not publish this story and i'm very
  1319. 45:07thankful
  1320. 45:07that they fought like i thought to
  1321. 45:10actually get it into print and
  1322. 45:12they didn't they didn't want they didn't
  1323. 45:13leave me hanging
  1324. 45:15yeah yeah amazing uh crazy story so
  1325. 45:20maybe um just before going to other
  1326. 45:23questions like
  1327. 45:24just what's the latest on the terran
  1328. 45:28situation or trial where are we today
  1329. 45:33um so elizabeth's criminal case
  1330. 45:36um so that's being run by the department
  1331. 45:39of justice
  1332. 45:40has been postponed a number of times
  1333. 45:43for fraud or fraud yeah i think i don't
  1334. 45:46actually follow it as closely as i
  1335. 45:48should but i think
  1336. 45:49i think there's like 11 counts of fraud
  1337. 45:54and the case against her is still
  1338. 45:57ongoing
  1339. 45:58it's still ongoing but it's scheduled
  1340. 46:00for march
  1341. 46:01and the company the company luckily shut
  1342. 46:04its doors
  1343. 46:05in i think late 2018 or maybe early 2019
  1344. 46:09i can't exactly remember yeah it took so
  1345. 46:11it took a while because they were able
  1346. 46:14to get a new loan
  1347. 46:16and to to spend millions of dollars
  1348. 46:20yeah that's a part i often forget about
  1349. 46:22that but after
  1350. 46:23all this came out they still they got a
  1351. 46:25hundred million dollar
  1352. 46:26loan which is pretty astounding
  1353. 46:29yeah so basically articles first
  1354. 46:31articles come out
  1355. 46:32uh october 2015 and it takes
  1356. 46:37three more than three years to
  1357. 46:39completely shut down with
  1358. 46:40in the middle on a new big loan so yeah
  1359. 46:42yeah and even longer than that
  1360. 46:44for this criminal case to finally go to
  1361. 46:46court
  1362. 46:48and so you what are you doing now
  1363. 46:51um well now i actually started my own
  1364. 46:53little diagnostic startup which is
  1365. 46:55pretty fun
  1366. 46:57i left theranos i went and i started
  1367. 46:59working in a lab at stanford that
  1368. 47:01has essentially repurposed magnetic hard
  1369. 47:03drive technology to do
  1370. 47:04diagnostics okay so i ended up spinning
  1371. 47:08out a little company with my professor
  1372. 47:10trying to commercialize that technology
  1373. 47:12and it's kind of funny because
  1374. 47:15in a lot of ways it sounds very similar
  1375. 47:16to theranos it's you can measure
  1376. 47:18multiple things at the same time it's
  1377. 47:19quantitative you can do it in point of
  1378. 47:21care settings
  1379. 47:22um but yeah elizabeth's told me so well
  1380. 47:25on that vision that i'm still
  1381. 47:27chasing after it but i'm using a real
  1382. 47:29technology that has
  1383. 47:31my professor has been publishing papers
  1384. 47:33and filing patents for over 15 years on
  1385. 47:35it so we have a really strong
  1386. 47:37technology foundation and now it's it's
  1387. 47:40a matter of
  1388. 47:41of commercialization and taking it to
  1389. 47:43the next level
  1390. 47:45well i think that's that's fascinating
  1391. 47:47that yeah you you were very excited
  1392. 47:49about the mission
  1393. 47:50and and believe that a
  1394. 47:53revolution was needed in that sector and
  1395. 47:55then you you worked very hard in the
  1396. 47:57stanford labs to
  1397. 47:59to try to make it happen and and now
  1398. 48:02launching your startup so i think it's
  1399. 48:04it's really commendable and i know well
  1400. 48:08then quite the journey yeah
  1401. 48:11but skipping and keeping on track um
  1402. 48:14i i kind of want to to go back
  1403. 48:18to because for me it's just so
  1404. 48:22crazy i ca i still cannot believe and
  1405. 48:25there's so many crazy things in this
  1406. 48:27story
  1407. 48:27but i in
  1408. 48:31okay where do i start this point so
  1409. 48:32what's crazy is how could
  1410. 48:34uh terrano's machine end up in a
  1411. 48:37walgreens which is basically a pharmacy
  1412. 48:40for the european yeah
  1413. 48:42how could a machine like that be in a
  1414. 48:45public shop when the technology doesn't
  1415. 48:49even work
  1416. 48:50doesn't even exist so basically how
  1417. 48:53could
  1418. 48:53the regulator feel so
  1419. 48:56so so so big
  1420. 49:00and and basically i'm also asking that
  1421. 49:03because
  1422. 49:04it's linked to the question so then do
  1423. 49:06you do the regulators
  1424. 49:08change since tejanos could piranhas
  1425. 49:12scandal happen again and basically i'm
  1426. 49:15even more worried because we are in a
  1427. 49:17covid
  1428. 49:17uh pandemic crisis where there's
  1429. 49:20definitely a rush
  1430. 49:21for vaccines or treatments and so
  1431. 49:25basically knowing that regulators could
  1432. 49:27be so wrong
  1433. 49:28and when we need some when we need quick
  1434. 49:32solutions for the pandemic it kind of
  1435. 49:35gets me worried
  1436. 49:39good news on that side yeah uh so you
  1437. 49:42you touched on a number of things there
  1438. 49:43but one
  1439. 49:44i want to make one thing really clear is
  1440. 49:45that none of these devices
  1441. 49:47ever made it into a walgreens store and
  1442. 49:51thank you okay because you said your
  1443. 49:54first day was the launch of the product
  1444. 49:56in walgreens yeah that was part of the
  1445. 49:58ruse is that they were supposedly going
  1446. 50:00to be in these walgreens wellness
  1447. 50:02centers and you could
  1448. 50:03prick your finger it would go into the
  1449. 50:04device and then you'd have the results
  1450. 50:06by the time you walked out
  1451. 50:07but in reality they were getting needles
  1452. 50:09in their arms
  1453. 50:10the blood was being drawn and then
  1454. 50:11someone would drive it from walgreens to
  1455. 50:14theranos and then we would do the
  1456. 50:15testing
  1457. 50:16at their nose so they never
  1458. 50:19ever was one of these inside of a
  1459. 50:21walgreens
  1460. 50:22and in my opinion it would have been
  1461. 50:25impossible
  1462. 50:26to get them to work inside of a
  1463. 50:28walgreens yeah okay didn't have the
  1464. 50:30right type of equipment and
  1465. 50:32so it was a fake launch it was a fake
  1466. 50:35launch yes
  1467. 50:36it was definitely a fake launch and on
  1468. 50:37top of that when we launched we weren't
  1469. 50:39even running the tests on the theranos
  1470. 50:41platform we were just collecting at
  1471. 50:42walgreens and then running on
  1472. 50:43third-party equipment so they just they
  1473. 50:45didn't really launch anything
  1474. 50:47um but um on your other point
  1475. 50:51i do so a lot of things had to go wrong
  1476. 50:54in order for theranos to happen and if
  1477. 50:56you think about all
  1478. 51:00the executives failed the board members
  1479. 51:02failed the investors failed the media
  1480. 51:05failed
  1481. 51:06so all of these systems that are
  1482. 51:08supposed to keep
  1483. 51:09the other systems in check they all
  1484. 51:11failed
  1485. 51:12and in some ways i feel like
  1486. 51:15they failed so dramatically that there's
  1487. 51:17no way it could ever happen again
  1488. 51:19like there isn't going to be another
  1489. 51:21company that's able to raise a billion
  1490. 51:23dollars and not have a single investor
  1491. 51:25on the board
  1492. 51:26no one is going to be able to raise a
  1493. 51:27billion dollars without a single
  1494. 51:29investor
  1495. 51:30ever seen an audited financial statement
  1496. 51:32no investor is ever going to
  1497. 51:34put together this board of directors
  1498. 51:36that really doesn't have much control
  1499. 51:38and doesn't
  1500. 51:38know what they're doing um
  1501. 51:42i hope you're right i
  1502. 51:45yeah i hope i'm right too but since all
  1503. 51:48the
  1504. 51:49coveted stuff started happening my mind
  1505. 51:51set has kind of started shifting a
  1506. 51:53little bit
  1507. 51:54and i've been seeing what's happening
  1508. 51:55and it in a lot of ways it does feel
  1509. 51:57like
  1510. 51:58it's a really good time to commit fraud
  1511. 52:00right now especially
  1512. 52:02in okay
  1513. 52:08have you been looking for a time to
  1514. 52:10commit fraud now is the time to buy
  1515. 52:13in um but it's just yeah with
  1516. 52:16with regards to the to the diagnostics
  1517. 52:19into the therapeutics
  1518. 52:20into the vaccines there's just there's
  1519. 52:22so much going on there's so much
  1520. 52:24stimulus money out there
  1521. 52:26i could see how it would be really easy
  1522. 52:28for a company to fudge a little bit of
  1523. 52:30data so they can get the next
  1524. 52:32100 like 10 or 20 million dollar grant
  1525. 52:35or whatever it is to continue that
  1526. 52:36research
  1527. 52:38um regulations are being dropped so that
  1528. 52:41things can move faster we know that
  1529. 52:43the regulations on the for from the fda
  1530. 52:46for regulating the diagnostics
  1531. 52:48have been kind of been going up and down
  1532. 52:50initially they really
  1533. 52:52lowered um regulations for things like
  1534. 52:55the antibody tests
  1535. 52:56and then the the market was flooded with
  1536. 52:59bad tests and so then the
  1537. 53:01the fda essentially took them all off
  1538. 53:03the market and raised the bar a little
  1539. 53:05bit
  1540. 53:06and then i know that we've heard that
  1541. 53:08the the president has been talking to
  1542. 53:10the fda
  1543. 53:11about lowering the standards for getting
  1544. 53:14that vaccine through so that we can get
  1545. 53:15vaccines faster
  1546. 53:16so in science unfortunately things just
  1547. 53:20take time and we're in a situation now
  1548. 53:23where we need solutions fast
  1549. 53:26yeah and so in order to get fast
  1550. 53:28solutions you have to decrease
  1551. 53:29regulation you have to kind of flood
  1552. 53:31these markets with a lot of funding
  1553. 53:34and a lot of funding lower regulations
  1554. 53:38i think make for a dangerous recipe for
  1555. 53:40for fraud
  1556. 53:42but hopefully let's keep our eyes open
  1557. 53:44and journalists out there please do your
  1558. 53:46job yes more than ever because it's
  1559. 53:50it's it's a very critical time so i
  1560. 53:53think our times is running out um
  1561. 53:56but i want to push you on that like
  1562. 54:00what would you say to a friend who
  1563. 54:04worked in a startup
  1564. 54:05and was serious concerned about the the
  1565. 54:08work he's doing what would you tell him
  1566. 54:10to do
  1567. 54:11um well one i would say so one thing
  1568. 54:14that i did that i really recommend to
  1569. 54:16other potential whistleblowers is find
  1570. 54:19people who are
  1571. 54:20senior to you who you can trust and for
  1572. 54:23me i
  1573. 54:24built strong relationships with a lot of
  1574. 54:25senior scientists with my managers who
  1575. 54:27are all seeing the same things that i
  1576. 54:29was seeing
  1577. 54:30and i could go to them and have very
  1578. 54:31honest conversations
  1579. 54:33and they could either confirm or help
  1580. 54:36educate me but most of the time it was
  1581. 54:38what you're seeing you know we're seeing
  1582. 54:40too this is not how science is done
  1583. 54:42and so i think it's important that you
  1584. 54:44can be really confident in yourself
  1585. 54:46before you go you know and into any kind
  1586. 54:49of whistleblowing
  1587. 54:50i would say also it's
  1588. 54:53if you are a group of whistleblowers
  1589. 54:56it's not
  1590. 54:57then it's less about one individual or
  1591. 54:59it's not about attacking one person but
  1592. 55:02it's stronger if it's a group of people
  1593. 55:04who are raising up
  1594. 55:06issue as well yeah i think that would
  1595. 55:08have been a great thing at their nose
  1596. 55:10but
  1597. 55:10everyone was so terrified there was such
  1598. 55:13a strong culture of fear
  1599. 55:15that i don't think we would have been
  1600. 55:16able to pull together a group
  1601. 55:18and as soon as elizabeth caught wind of
  1602. 55:20a group getting pulled together
  1603. 55:23we would have been in a courtroom so i
  1604. 55:25think in some situations i'm sure that
  1605. 55:27that can work out better in my situation
  1606. 55:30i don't think it would have
  1607. 55:31happened and i think it could have ended
  1608. 55:33poorly um
  1609. 55:35but then secondly actually i think
  1610. 55:39knowing about resources like the signals
  1611. 55:41network is super super important
  1612. 55:44and when i was going through this you
  1613. 55:46know i was like 22 23
  1614. 55:4824 years old and i had no idea what i
  1615. 55:52was doing i didn't even really see
  1616. 55:53myself as a whistleblower i didn't quite
  1617. 55:55frame it in that context
  1618. 55:57and i went to i didn't know who to reach
  1619. 56:00out to
  1620. 56:01i didn't want i was too afraid to even
  1621. 56:03really talk to lawyers
  1622. 56:05and so now when you know a lot of people
  1623. 56:08often reach out to me and say
  1624. 56:09you know i'm seeing some shady things at
  1625. 56:11my company can you help me out
  1626. 56:14it's really nice for me to say hey
  1627. 56:15contact the signals network because
  1628. 56:18they can put you in touch with lawyers
  1629. 56:20reporters
  1630. 56:21um they can really just be they can i
  1631. 56:24again these months i put in touch
  1632. 56:26one with a lawyer yeah yeah great yeah
  1633. 56:30i'm glad to hear that
  1634. 56:31um and then i don't know because then
  1635. 56:34they talk
  1636. 56:35and they receive the legal advice and if
  1637. 56:38they want to talk to another lawyer
  1638. 56:39because for any reason i can
  1639. 56:41find another lawyer yeah and
  1640. 56:45what i didn't know is that there are a
  1641. 56:46lot of very a lot of protected
  1642. 56:48whistleblowing channels through the
  1643. 56:50government that i didn't know about and
  1644. 56:51if i had
  1645. 56:52spoken to to someone like the signals
  1646. 56:54network i'm sure i would have been
  1647. 56:55educated on on options like that for me
  1648. 56:58um so yeah so speak to a lawyer
  1649. 57:02but a good one a lawyer yeah a one would
  1650. 57:05not understand what's at stake and who
  1651. 57:07knows the different whistleblowers low
  1652. 57:09and right and it's different in every
  1653. 57:12country
  1654. 57:13it's also different in every every state
  1655. 57:15in the us
  1656. 57:17and so it's it's actually a very complex
  1657. 57:20uh journey and so you better
  1658. 57:24make some research uh on your computer
  1659. 57:27at home
  1660. 57:28not that word and um
  1661. 57:31and and and connect with a trusted
  1662. 57:34community of experts
  1663. 57:36like the signals network but i would
  1664. 57:39also encourage you to
  1665. 57:40look at resources that um a group called
  1666. 57:43government accountability project
  1667. 57:46gap put out in the u.s for journalists
  1668. 57:49and whistleblowers which are
  1669. 57:51really great resources in each country
  1670. 57:54it's different so
  1671. 57:55in france for example i recommend to
  1672. 57:57look at greenpeace resources
  1673. 57:59that were put out to to explain how the
  1674. 58:02law
  1675. 58:03legislation is and protect with others
  1676. 58:05in france
  1677. 58:06for the eu there's a new directive
  1678. 58:09uh which allow new protection for
  1679. 58:12whistleblowers so i could refer you to
  1680. 58:15some resources for journalists that
  1681. 58:17explains um
  1682. 58:18a little bit more about what it means
  1683. 58:20for the journalists and their
  1684. 58:22sources um so there are resources out
  1685. 58:25there
  1686. 58:25there are some good groups there's
  1687. 58:27there's unfortunately not
  1688. 58:29a lot of groups who really can put you
  1689. 58:32in touch with a
  1690. 58:34lawyer for free but um there is
  1691. 58:37some so please uh please know that it
  1692. 58:39exists through the signals network
  1693. 58:41sometimes i connect you with
  1694. 58:42other groups we work with in different
  1695. 58:44countries
  1696. 58:46but we are operational in 11 countries
  1697. 58:49so far
  1698. 58:51also we because it's such a complex
  1699. 58:54legal word we're actually putting
  1700. 58:56together and
  1701. 58:57releasing in a few weeks a whistleblower
  1702. 59:00index
  1703. 59:01and the idea is to compare countries for
  1704. 59:04the way
  1705. 59:04they treat whistleblowers because i
  1706. 59:06think there's a need to
  1707. 59:08discuss more about the reality of
  1708. 59:11the journalists sources and um and the i
  1709. 59:14think the word we saw bloor still have a
  1710. 59:16pretty pejorative like negative yeah
  1711. 59:20aura and i hope uh people like you
  1712. 59:23and many other can help change that
  1713. 59:26person perception and
  1714. 59:28wish that we could focus more on
  1715. 59:32contribution you made basically you
  1716. 59:34helped
  1717. 59:35um stop a huge fraud who could have
  1718. 59:39armed people and uh
  1719. 59:42and and and that's really the case for
  1720. 59:45most of the whistleblowers they they
  1721. 59:46prevent major
  1722. 59:48uh damage and harm so there should not
  1723. 59:52be a any kind of negative aura around
  1724. 59:55that
  1725. 59:56um any last advice
  1726. 1:00:00for someone
  1727. 1:00:04you never think of becoming a
  1728. 1:00:05whistleblower it's not like uh
  1729. 1:00:07oh yeah i want to become a whistleblower
  1730. 1:00:09it's it's a journey of trying to
  1731. 1:00:11to to help your company in most of the
  1732. 1:00:14case
  1733. 1:00:15people want to honestly help their
  1734. 1:00:17company do a better job
  1735. 1:00:20to then go to the regulators or or to a
  1736. 1:00:23journalist
  1737. 1:00:24so i don't know i want to let you end
  1738. 1:00:26this conversation with
  1739. 1:00:28um an advise or optimistic note here
  1740. 1:00:32yeah i mean i think what really worked
  1741. 1:00:35out for me is that i
  1742. 1:00:36end up i was very confident in myself
  1743. 1:00:39and i and i trusted my gut and i never
  1744. 1:00:41doubted myself and i think it would have
  1745. 1:00:43been really tough
  1746. 1:00:44if with when there was so much outside
  1747. 1:00:47pressure if i began self
  1748. 1:00:49self doubting that is when every i would
  1749. 1:00:51have kind of collapsed
  1750. 1:00:53so just you gotta trust your gut stick
  1751. 1:00:55to your guns
  1752. 1:00:57um and you'll be okay
  1753. 1:01:00but thank you so much tyler and
  1754. 1:01:03congratulations
  1755. 1:01:04on your amazing journey and i wish you
  1756. 1:01:07all the best for
  1757. 1:01:08your new chapter and everybody you
  1758. 1:01:11should absolutely listen to
  1759. 1:01:13the podcast which is really really cool
  1760. 1:01:16and it which was just released in august
  1761. 1:01:17so it's very
  1762. 1:01:19up to date if you have a four hours
  1763. 1:01:21drive
  1764. 1:01:22because it's it's three hours and a half
  1765. 1:01:24uh please
  1766. 1:01:25absolutely you should listen to to um
  1767. 1:01:28tyler podcast which is on audible and uh
  1768. 1:01:32thank you again and take care and i hope
  1769. 1:01:35to
  1770. 1:01:36see you soon in person yeah i hope so
  1771. 1:01:38that'd be great
  1772. 1:01:50bye-bye

About this transcript

This page contains the full transcript of CIJ Logan Symposium 2020: An interview with Theranos Whistleblower Tyler Shultz by The Centre for Investigative Journalism, generated from the public captions YouTube serves with the video. The transcript has 10,528 words across 1,772 segments, with the original timestamps preserved so you can click any line to jump to that moment in the embedded player.

What you can do with it

Use the transcript to take notes, quote the speaker, build a study guide, generate a summary with ChatGPT or Claude via the YouTube Summary tool, or export it as a timed subtitle file with YouTube to SRT. You can also re-open it in the transcriber to translate the transcript into 100+ languages.

Free YouTube transcript tool

YouTube2Text is a free YouTube transcript generator — no signup, no daily limit. Paste any YouTube link and get the full transcript instantly, with timestamps, click-to-jump, translation to 100+ languages, AI prompts for ChatGPT, Claude, and Gemini, and exports to TXT, SRT, VTT, or Markdown.