A letter to Theranos shareholders was picked up by The Wall Street Journal, revealing Taylor's lament that "w$3 e are now finally out of time". The company is doing this after breaching a covenant in a loan made by Fortress Investment Group to the diagnostics company. He said the company will fully dissolve after it takes care of its remaining financial transactions.
After the charade unravelled and the US Securities and Exchange Commission (SEC) charged its Steve Jobs-imitating CEO Elizabeth Holmes and former president Ramesh Balwani with "massive" civil fraud, the company laid off almost all of its 125 remaining staff in April 2018.
Holmes founded the company in 2003 to develop technology that she claimed was able to conduct clinical tests on small amounts of blood. But that unraveled spectacularly under the scrutiny of Wall Street Journal investigative reporter John Carreyrou. Most of Theranos's two-dozen remaining employees worked their last day on Friday, Aug. 31.
As NPR's James Doubek reported in March, Holmes has already settled civil charges brought by the Securities and Exchange Commission, agreeing to pay a $500,000 penalty and to refrain from serving as a director or officer of a publicly traded company for 10 years.
The blood-testing firm Theranos had claimed that they have devised several important physiological tests with a simple pinprick of blood, which was false.
But as the Journal revealed in a series of articles beginning in October 2015, Theranos's blood-testing device was unreliable and the company used it for just a fraction of the more than 240 tests it offered to consumers.
The pair has denied the charges and faces potential decades in prison and massive fines.
She carefully crafted her image as well, wearing nearly entirely black turtleneck sweaters that earned her the moniker in Silicon Valley as "the next Steve Jobs". Its hope was to save people from painful, drawn out and invasive medical procedures, as well as promising to do it more economically, and with less susceptibility to human error. It has about $5 million left that will be distributed to investors.
A national partnership with Walgreens would eventually have resulted in Theranos Wellness Centers within miles of every American.