Under cross-examination Peterson got into a testy exchange with Lance Wade, a lawyer representing Holmes. The attorney pressed Peterson on whether anyone got in the way of her due diligence on Theranos and impeded a “full and accurate understanding of how the company was operating at the time.”
Peterson allowed that Holmes held a strong sway and admitted to “fear” of missing out if she passed up a chance to invest in the startup. Probing too deeply into the company’s commercial partnership with Walgreens might mean “we wouldn’t be invited back to invest,” she said. But Peterson also resisted Wade’s insinuation that she didn’t do her homework on Theranos.
“We got answers we were satisfied with that were different than what came out later,” she said. “We were relying on what we were told.”
Holmes faces as long as 20 years in prison if convicted of charges that she deceived investors and patients.
This article was provided by Bloomberg News.