A look at disgraced billionaire Elizabeth Holmes’ secret links to China – The Theranos CEO was a Mandarin-speaking prodigy and she met her ex-boyfriend Ramesh Balwani in Beijing

Elizabeth Holmes has surprising links with China and its culture. Photos: Getty Images, Corbis

Elizabeth Holmes is no stranger to global attention. She became a cult figure when her company Theranos garnered millions in investment, only for it to emerge that the science behind her ideas was not solid and that she had in fact defrauded investors.

But now the spotlight on Holmes will be even brighter after the release of Hulu’s series on the 38-year-old disgraced entrepreneur, The Dropout. It stars Amanda Seyfried and Naveen Andrews, with Seyfried already getting critical hype for her portrayal of Holmes.

Amanda Seyfried plays Elizabeth Holmes on screen in The Dropout. Photo:@roro_social/Instagram

Holmes faced a lengthy court trial and was found guilty on four charges in January – three counts of fraud and one count of conspiring to defraud private investors. Her sleight? She promised investors her trailblazing tech could conduct multiple extensive health tests with just one drop of blood. But that turned out to be an elaborate and ultimately untrue claim, and together with her then boyfriend Ramesh “Sunny” Balwani – who was Theranos’ COO – she came under increased scrutiny as the business came crashing down around them. Here’s how Holmes got her entry into blood testing and why China played such a big role in her sensational story.

The former CEO and founder of failed blood testing start-up Theranos is about to see her story hit the big screen. Photo: @elizabethholmesofficial/Instagram

The China obsession: different versions
Richard Fuisz, a psychiatrist who knew Holmes since childhood, was interviewed by Forbes about his relationship. He claimed Holmes had low grades at school and that her parents had heard that if she learned a language and attended a summer programme, she could increase her chances of getting into Stanford. Fuisz said she quickly signed up to study Mandarin through a summer programme at Stanford as a result.

Also read -  Russian tycoon who owns Heesen, one of the world's largest superyacht builders has been sanctioned by the UK. The oil rig worker turned billionaire has a luxury yacht so big that it got stuck multiple times in European rivers.

Elizabeth Holmes giving a TEDMED Talk in 2014 when she was just 30. Photo: MedCity News/YouTube

However, before the collapse of Theranos and while she still had the world’s attention, a very different version of Holmes’ personal story was presented to the world. The New Yorker published an article in 2014 implying Holmes was some sort of Mandarin-speaking prodigy who had been so good at the language that she’d been desperate to study it at Stanford’s summer programme while still in senior school. More context was given by referencing the fact that Holmes’ father Chris had spent two weeks of every month in China in the 1980s helping American companies invest in development projects.

Unlike Fuisz’s version of events, the article quoted Holmes’ father as saying that Stanford’s admissions clerk got so frustrated by Elizabeth’s constant pleas to be accepted onto the course that he gave her the test in Mandarin on the spot – and she aced it. She then went on to complete three years of college Mandarin while still in senior school.

Elizabeth Holmes and Ramesh Balwani reportedly first met in Beijing. Photo: @profblue/Twitter

Love in the Middle Kingdom
Holmes and Balwani met 20 years ago in Beijing, China. Holmes was on a language immersion trip with Stanford University and was 18 years old, while Balwani was 37 and doing an MBA though the University of California, Berkeley, according to Refinery29. Apparently they hit it off immediately and soon after began a romantic relationship.

Former Theranos COO Ramesh “Sunny” Balwani faces charges of conspiracy and wire fraud and his trial will begin this month. Photo: Getty Images/AFP

Balwani would eventually work at Theranos, and drew criticism for having such a prominent role at the company (he was president and COO) given his lack of training in biological sciences. The couple eventually split up and in court Holmes accused Balwani of sexual and mental abuse during the time they were together. Balwani is due to stand trial this month.

Also read -  A $1.3 million Burj Khalifa look-alike deluxe hotel will rise up in Beijing

Holmes claimed her disruptive technology would “change the future of medicine”. Photo: @itspoplolita/Instagram

The birth of Theranos
According to The New Yorker, Elizabeth applied to Stanford in 2001 and was given a small research stipend as part of the President’s Scholar programme. She opted to study chemical engineering and asked the then dean of the engineering department, Channing Robertson, if she could work in his lab alongside the PhD students. After some persuasion he agreed. In the article he tells how Holmes then declared she wanted to go to Singapore’s Genome Institute for the summer – something that would have required her to speak fluent Mandarin, which she said she did.

Elizabeth Holmes denied lying to Walgreens about her company’s technology during her fraud trial. Photo: Instagram

It was this that prompted Robertson to realise that Holmes was “different”, he says in the interview.

While in Singapore, she worked on testing for Sars and it was there that she came up with the idea to do multiple tests using a drop of blood. In 2004 she dropped out of Stanford and convinced Robertson to be the technical adviser and first board member of her new company, Theranos. Remarkably, he ended up working for Theranos full time, despite concerns from his peers, who spoke about the extraordinary case on podcast The Dropout, on which the new Hulu series is based on.

Note: This story was originally published on SCMP and has been republished on this website.

Tags from the story
, ,
Written By
First published in 1903, the South China Morning Post is Hong Kong’s premier English language newspaper, providing news 24/7, in-depth and quick scan reads, informative infographics, critical analysis, community discussions plus access to the most comprehensive news archive in Hong Kong. Over the decades it has built an enviable reputation for authoritative, influential and independent reporting on Hong Kong, China and the rest of Asia.