Bad Blood
John Carreyrou
Contributed by Andrea Barraza
Chapter 24

Erika Cheung contacted Gary Yamamoto, a CMS field inspector regarding the laboratories of Theranos and the behavior of Sunny Balwani towards this problem. They have arranged an unexpected inspection at Theranos and managed to find several major problems. Theranos was given a few months to solve the problems after Sunny insisted. Once the deadline was over, they came again and stated that many of the problems were not solved. As a result of this, they decided the company is no longer approved for their activities. All these information and also the report published by Carreyrou brought the attention of even more people. Meanwhile, Elizabeth tried to convince the others that her great invention is actually the minilab and not the Edison. Even so, people no longer bought all these lies and managed to prove that the minilab is no better than the other device she stated she uses for blood testing. Soon many investors announced that they no longer desire to fundraise the company and many people who were involved in this project sued Theranos for the risks at which they were exposed.


In order to try to clear the name of the company after the inspection, Elizabeth stated that those were Sunny's mistake and that they broke up and he was fired from the company. People no longer believed her lies. During a conference, John describes her as being a great saleswoman as she was able to use the words in such a way that it would be hard not to buy what she is saying. Even so, after the attendants started asking questions they managed to conclude that it was all just another fraud. This chapter marks the moment when Theranos loses all its reputation. If in the beginning it was presented as being an innovative company that would change the way people approach the health services, at the end of chapter XXIV the company is seen as putting people at high risk. Without no doubts, they had their hands stained with blood after all those illegal activities and false results.

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