Ex-Theranos CEO Elizabeth Holmes says 'I don't know' 600+ times in depo tapes: Nightline Part 2/2 — Transcript

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1. 0:00elizabeth holmes once silicon valley's
2. 0:02fastest rising star
3. 0:04is now under the harsh glare of a very
4. 0:06different kind of spotlight as well
5. 0:08please raise your right hand she's
6. 0:10finally forced to answer to the
7. 0:12securities and exchange commission
8. 0:14as she's investigated for an alleged
9. 0:16elaborate years-long fraud
10. 0:19do you swear to tell the truth the whole
11. 0:20truth and nothing but the truth i do
12. 0:22suddenly the woman who always seemed to
13. 0:25have all the answers
14. 0:26we are the only lab company that is
15. 0:29actually really focused
16. 0:31on leading with transparency now had
17. 0:33none
18. 0:34i i don't know specifically i'm not sure
19. 0:37i'm i don't know exactly i just don't
20. 0:39know with theranose's claims now under
21. 0:42the microscope did it concern you that
22. 0:44a number of tests weren't working
23. 0:47on this devices her carefully crafted
24. 0:50narrative
25. 0:51began to unravel like those dramatic
26. 0:53claims she peddled to board members like
27. 0:55george
28. 0:55schultz the former secretary of state
29. 0:58was theraness's
30. 0:59technology deployed in emergency rooms
31. 1:03hospitals and provider offices
32. 1:05no it was a fairness manufacturer device
33. 1:09ever deployed in
34. 1:12the battlefield was it ever deployed
35. 1:15in a medevac helicopter she was
36. 1:19challenged
37. 1:19sentence by sentence on what she told
38. 1:22fortune in that star making cover story
39. 1:25there's a statement that theranus
40. 1:27currently offers more than
41. 1:28200 and is ramping up to offer more than
42. 1:311 000
43. 1:32of the most commonly ordered blood
44. 1:33diagnostic tests all without the need
45. 1:35for syringes was that statement correct
46. 1:38i'm reading it now i don't think it is
47. 1:40and there was another significant detail
48. 1:42that she had been less than forthcoming
49. 1:44about were you and
50. 1:46sunnyvale wanted ever engaged in a
51. 1:47romantic relationship yes
52. 1:50when for a long period of time would you
53. 1:54say for the majority of that time for
54. 1:56you living with his homes
55. 1:57yes did you ever tell investors that
56. 1:59you've had a romantic relationship
57. 2:01no personally me talking to investors
58. 2:04one-on-one telling them
59. 2:05my relationship no i didn't it was
60. 2:07concealed from
61. 2:08the board it was concealed from the
62. 2:11press
63. 2:12it was concealed from investors you
64. 2:14think it was intentional
65. 2:15that they hit it it was absolutely
66. 2:17intentional as revelations about
67. 2:20theranos started to unfold and the
68. 2:22divide between elizabeth's grandiose
69. 2:24vision
70. 2:25versus reality became clear now to the
71. 2:28stunning fall of a former ceo
72. 2:29the sec had enough to bring charges
73. 2:31against her
74. 2:32and soon so did the department of
75. 2:35justice elizabeth holmes and another
76. 2:37former executive
77. 2:38await a criminal trial they face up to
78. 2:4020 years in prison
79. 2:42elizabeth holmes is stepping down as the
80. 2:44chief executive officer
81. 2:46holmes pleaded not guilty by september
82. 2:492018
83. 2:50the company was officially out of
84. 2:52business how
85. 2:53big of a deal is this i think it's
86. 2:56probably the the most interesting fraud
87. 2:59case i've dealt with
88. 3:00bernie madoff would be second and you
89. 3:03think they're similar people
90. 3:04i think they're very similar people
91. 3:06smart charming
92. 3:08bullies elizabeth and her counsel did
93. 3:10not respond to our repeated requests for
94. 3:12comment
95. 3:13she denies any wrongdoing but sonny
96. 3:15balwani's attorney jeff coopersmith
97. 3:17agreed to join us for his first
98. 3:19in-depth on-camera interview if you were
99. 3:22going to give him a grade on the job he
100. 3:23did
101. 3:24at theranos what would that grade be i
102. 3:26would give him
103. 3:27an a-plus for dedication and effort
104. 3:31but obviously when we look at this after
105. 3:32the fact and there's been a business
106. 3:34failure
107. 3:34and you know mister malwan is very sorry
108. 3:36about that but that's not fraud
109. 3:38it seems like a central component of
110. 3:40your case
111. 3:41is that theranos was on the right track
112. 3:43and if they had enough time
113. 3:45they would have gotten it 100 right i
114. 3:47think eventually the company would have
115. 3:49been a
116. 3:49great success if it had been allowed to
117. 3:51run when it comes to our health
118. 3:54people want to know it's 100 accurate
119. 3:57day one
120. 3:57they want to know that what's inside of
121. 4:00a walgreens or
122. 4:01at their doctor's office can actually do
123. 4:04what it says it will do you know rebecca
124. 4:06of course that's true
125. 4:08i think though the unfortunate thing is
126. 4:10that in our
127. 4:11system of health care there's mistakes
128. 4:13that are made every day
129. 4:15there's no perfect answer
130. 4:19a lot of people will say fake it till
131. 4:21you make it make it till you make it
132. 4:23doesn't work in healthcare because
133. 4:25you're talking about people's health
134. 4:27so many people wind up in jail for such
135. 4:30little things
136. 4:31this is not a little thing and it's also
137. 4:33not only did they fool the investors
138. 4:35they fooled the media
139. 4:39they fooled patients they fooled doctors
140. 4:42but as elizabeth herself once declared
141. 4:45at a forbes conference
142. 4:46she is not a woman who will go down
143. 4:48without a fight
144. 4:49when you have that passion you will get
145. 4:52back up when you get knocked down
146. 4:54and you will get knocked down over and
147. 4:55over and over and over again and you win
148. 4:58by getting back up but i would start
149. 4:59this company over 10 000 times if i had
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