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Elizabeth Holmes, who was convicted of fraud for siphoning hundreds of millions of dollars from several high-profile investors, is scheduled to be transferred from a minimum-security federal prison to a halfway house next year, according to one of her victims.
Holmes, 42, defrauded investors of millions through Theranos, the failed blood-testing company that she founded. She was sentenced in 2022 to 11 years and three months in prison. She and her business partner Ramesh “Sunny” Balwani were ordered to pay 12 victims a total of $452 million in restitution.
Holmes has been serving that sentence at a minimum-security prison in Bryan, Texas. The halfway house will provide her greater freedom.
Alan Eisenman, one of her victims, said she is to be transferred to the Austin Transitional Center, a halfway house in Del Valle, an unincorporated community that borders Austin, Texas.
The Department of Justice is required by law to notify victims of crime of case developments through letters and emails.
Scott Taylor, a spokesperson for the Bureau of Prisons, said he could not provide details of Holmes’ confinement, including release plans. Taylor cited safety, security and a Bureau of Prisons policy that says such information can’t be released until after an individual arrives at their designated institution.
Eisenman, an early Theranos investor who testified at Holmes’ trial, said he received a message from the Justice Department’s victim notification system Wednesday saying the halfway house transfer would occur in August 2027.
Eisenman, a retired financial planner from Texas, invested about $1.2 million with his family in the failed blood-testing company beginning in 2006. He was the smallest investor among a list of high-profile, well-monied investors who included Australian media mogul Rupert Murdoch.
Eisenman was unhappy to hear of the planned transfer.
“Seems like a gift,” he told NBC News.
Holmes owes Eisenman and his wife, Sherrie, almost $150,000 out of a total of $452 million in restitution for all victims of her crimes, according to a court document.
So far, he has “not received a penny” from Holmes, he told NBC News.
“She was a liar back in 2006,” Eisenman said, “and she’s a liar today.”
Eisenman said he hoped Holmes would remain in prison through her scheduled release date of Feb. 22, 2030, after some reductions in the sentence.
In March, a judge cut Holmes’ sentence from 135 months to 123 months. According to a court document, the judge agreed with Holmes that she did not personally cause “substantial financial hardship” to her victims.
The government had tried to prevent a reduction of her prison time, arguing that Holmes has not accepted responsibility for her crimes, paid minimal restitution and “has the opportunity to reoffend,” according to a court filing.
The government told the court that Holmes has continued to tell national media she intends to resume a career in healthcare technology after her release and has been advising her romantic partner on fundraising for his startup, a company that has similarities to Theranos, the court document states.
Eisenman added that he’s against Holmes receiving any form of presidential clemency. She filed for a commutation of her sentence last year. It remains pending.
Holmes’ attorney from her trial did not respond to a phone message from NBC News requesting comment. ABC News first reported her pending release to the halfway house.
Walter Pavlo, president of Prisonology LLC consulting firm, said a combination of factors could have helped reduce the time Holmes is spending in prison and at the halfway house.
Those include a change on sentencing guidelines, good conduct time, possible participation in programs that slice time off her sentence if successfully completed and laws governing time she would spend in a halfway house and home confinement.
Pavlo said inmates who report to halfway houses can work, have a phone and drive to religious services or shop for things they need and can earn passes for weekends at home.
On its website, the Bureau of Prisons states that inmates at halfway houses are given counseling, job placement and other programs and services to help rebuild community ties.
The BOP site states it monitors inmates’ activities, requires sign out and conducts head counts. Also, inmates “ordinarily” are expected to work 40 hours a week within 15 days of their arrival at the halfway house and some of their income pay for some of their stay at the halfway house, according to the BOP site.
The news of Holmes’ impending move comes as a documentary about her is about to be released.
The documentary by comedian Nathan Fielder and director Lance Oppenheim is based on Fielder living with her and her partner for several days before she entered prison in 2023. It recently made its debut at the Telluride Film Festival and is scheduled for full release next month.
Eisenman said he also watched the latest trailer for the documentary, “You Can See Everything,” and plans to see it upon its release next month.
His concern, he added, is whether it will portray Holmes as a sympathetic figure.
“She’s obviously manipulative,” Eisenman said. “If people don’t see that, then they’re blind. She’s the most conniving person I’ve ever met.”
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ABC: Elizabeth Holmes approved to move to halfway house next year
(CNN) — Theranos founder Elizabeth Holmes has been approved to move to a halfway house next year, ABC News reported, years after her stunning downfall that culminated in a conviction for defrauding investors while running her failed blood testing startup.
She is scheduled to be placed in the Austin Transitional Center in Del Valle, Texas, in August 2027, ABC News reported, citing an update from the Department of Justice’s Victim Notification System.
Holmes was sentenced to more than 11 years in prison in 2022 after she was convicted on multiple charges of conspiracy to defraud investors and wire fraud related to the now-defunct company. Her sentence has since been reduced by a year.
Holmes is currently being held at Federal Prison Camp Bryan in southern Texas, a minimum security federal prison camp that is approximately 100 miles from Houston, where she grew up before moving to California to attend Stanford.
Holmes was once an icon in the tech world, serving as a poster child for the limitless ambitions and potential of Silicon Valley. Her company began to unravel after a Wall Street Journal investigation in 2015 reported that Theranos had only ever performed roughly a dozen of the hundreds of tests it offered using its proprietary technology, and with questionable accuracy. It also came to light that Theranos was relying on third-party manufactured devices from traditional blood testing companies rather than its own technology. Theranos ultimately dissolved in September 2018.
The Federal Bureau of Prisons declined to provide information on the move, saying it doesn’t discuss “the conditions of confinement for any individual, including release plans.”
“BOP assigns individuals to facilities based on several factors. These include the level of security and supervision required, medical or programmatic needs, separation or security considerations necessary for the individual’s safety, and other relevant factors, such as proximity to the individual’s release residence,” the spokesperson told CNN Wednesday.
CNN has reached out to Holmes’ attorneys for comment.
Halfway houses, also known as residential reentry centers, offer a supervised environment for inmates nearing release and services including career counseling and financial management assistance, according to the bureau.
The Austin Transitional Center is a 460-bed “community corrections center” owned by a private prison company. It’s located about 7 miles southeast of downtown Austin and is one of eight residential reentry centers in Texas.
Holmes’ sentence reduced months ago
Holmes, 42, began serving her sentence in May 2023 and was scheduled for release in February 2030, according to the Federal Bureau of Prisons.
News of the move comes about six months after a federal judge reduced Holmes’ prison sentence from 135 months to 123 months, finding she qualified for a retroactive sentencing-guidelines reduction for offenders who had no prior criminal history and met other conditions, according to a March court order.
Holmes had also asked President Donald Trump for an early release from prison, according to a request filed with the Department of Justice. The White House earlier this year told CNN it does not comment on clemency requests.
Her attorneys argued last year that Holmes had “maintained an excellent record post-sentencing” and did not receive a single citation or disciplinary infraction during her incarceration. Holmes “dedicated herself to being an engaged prisoner, serving other women, and actively seeking opportunities to make a difference,” the attorneys wrote in their motion.
The government had objected to the resentencing, arguing Holmes caused “substantial financial hardship” to victims, had not accepted responsibility for her crimes, paid minimal restitution and can reoffend, according to court documents.
Judge Edward Davila ultimately found Holmes eligible for the reduction but emphasized it “does not diminish the enormity of Holmes’s crimes.”
Holmes started Theranos, once valued at $9 billion, as a college student and quickly became one of the most well-known women in Silicon Valley thanks to her promise to upend the healthcare industry. Theranos claimed its technology could accurately and efficiently test for conditions like cancer and diabetes with just a few drops of blood. It attracted $945 million in financing, a board of well-known political figures and prominent retail partners.
In 2018, Holmes and Theranos President Ramesh “Sunny” Balwani were each charged with wire fraud and conspiracy to commit wire fraud. Both pleaded not guilty. In 2025, a US appeals court upheld their convictions. It also upheld the $452 million in restitution that Holmes and Balwani were ordered to pay to victims.
Earlier this year, Holmes had gained renewed attention online after posts again began appearing on her X account, including a post lauding Trump’s health care affordability efforts. The Holmes account, which also features posts about Holmes’ husband, children and activities in prison, notes that posts are “mostly my words, posted by others.” It’s not clear who is managing the account.
“We are continuing to fight for my innocence and we know the truth can not be repressed for ever (sic),” Holmes’ account posted in January.
This is a developing story and will be updated.
The-CNN-Wire
™ & © 2026 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.
CNN’s Catherine Thorbecke contributed to this report.
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ABC: Elizabeth Holmes approved to move to halfway house next year
(CNN) — Theranos founder Elizabeth Holmes has been approved to move to a halfway house next year, ABC News reported, years after her stunning downfall that culminated in a conviction for defrauding investors while running her failed blood testing startup.
She is scheduled to be placed in the Austin Transitional Center in Del Valle, Texas, in August 2027, ABC News reported, citing an update from the Department of Justice’s Victim Notification System.
Holmes was sentenced to more than 11 years in prison in 2022 after she was convicted on multiple charges of conspiracy to defraud investors and wire fraud related to the now-defunct company. Her sentence has since been reduced by a year.
Holmes is currently being held at Federal Prison Camp Bryan in southern Texas, a minimum security federal prison camp that is approximately 100 miles from Houston, where she grew up before moving to California to attend Stanford.
Holmes was once an icon in the tech world, serving as a poster child for the limitless ambitions and potential of Silicon Valley. Her company began to unravel after a Wall Street Journal investigation in 2015 reported that Theranos had only ever performed roughly a dozen of the hundreds of tests it offered using its proprietary technology, and with questionable accuracy. It also came to light that Theranos was relying on third-party manufactured devices from traditional blood testing companies rather than its own technology. Theranos ultimately dissolved in September 2018.
The Federal Bureau of Prisons declined to provide information on the move, saying it doesn’t discuss “the conditions of confinement for any individual, including release plans.”
“BOP assigns individuals to facilities based on several factors. These include the level of security and supervision required, medical or programmatic needs, separation or security considerations necessary for the individual’s safety, and other relevant factors, such as proximity to the individual’s release residence,” the spokesperson told CNN Wednesday.
CNN has reached out to Holmes’ attorneys for comment.
Halfway houses, also known as residential reentry centers, offer a supervised environment for inmates nearing release and services including career counseling and financial management assistance, according to the bureau.
The Austin Transitional Center is a 460-bed “community corrections center” owned by a private prison company. It’s located about 7 miles southeast of downtown Austin and is one of eight residential reentry centers in Texas.
Holmes’ sentence reduced months ago
Holmes, 42, began serving her sentence in May 2023 and was scheduled for release in February 2030, according to the Federal Bureau of Prisons.
News of the move comes about six months after a federal judge reduced Holmes’ prison sentence from 135 months to 123 months, finding she qualified for a retroactive sentencing-guidelines reduction for offenders who had no prior criminal history and met other conditions, according to a March court order.
Holmes had also asked President Donald Trump for an early release from prison, according to a request filed with the Department of Justice. The White House earlier this year told CNN it does not comment on clemency requests.
Her attorneys argued last year that Holmes had “maintained an excellent record post-sentencing” and did not receive a single citation or disciplinary infraction during her incarceration. Holmes “dedicated herself to being an engaged prisoner, serving other women, and actively seeking opportunities to make a difference,” the attorneys wrote in their motion.
The government had objected to the resentencing, arguing Holmes caused “substantial financial hardship” to victims, had not accepted responsibility for her crimes, paid minimal restitution and can reoffend, according to court documents.
Judge Edward Davila ultimately found Holmes eligible for the reduction but emphasized it “does not diminish the enormity of Holmes’s crimes.”
Holmes started Theranos, once valued at $9 billion, as a college student and quickly became one of the most well-known women in Silicon Valley thanks to her promise to upend the healthcare industry. Theranos claimed its technology could accurately and efficiently test for conditions like cancer and diabetes with just a few drops of blood. It attracted $945 million in financing, a board of well-known political figures and prominent retail partners.
In 2018, Holmes and Theranos President Ramesh “Sunny” Balwani were each charged with wire fraud and conspiracy to commit wire fraud. Both pleaded not guilty. In 2025, a US appeals court upheld their convictions. It also upheld the $452 million in restitution that Holmes and Balwani were ordered to pay to victims.
Earlier this year, Holmes had gained renewed attention online after posts again began appearing on her X account, including a post lauding Trump’s health care affordability efforts. The Holmes account, which also features posts about Holmes’ husband, children and activities in prison, notes that posts are “mostly my words, posted by others.” It’s not clear who is managing the account.
“We are continuing to fight for my innocence and we know the truth can not be repressed for ever (sic),” Holmes’ account posted in January.
This is a developing story and will be updated.
The-CNN-Wire
™ & © 2026 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.
CNN’s Catherine Thorbecke contributed to this report.
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ABC: Elizabeth Holmes approved to move to halfway house next year
(CNN) — Theranos founder Elizabeth Holmes has been approved to move to a halfway house next year, ABC News reported, years after her stunning downfall that culminated in a conviction for defrauding investors while running her failed blood testing startup.
She is scheduled to be placed in the Austin Transitional Center in Del Valle, Texas, in August 2027, ABC News reported, citing an update from the Department of Justice’s Victim Notification System.
Holmes was sentenced to more than 11 years in prison in 2022 after she was convicted on multiple charges of conspiracy to defraud investors and wire fraud related to the now-defunct company. Her sentence has since been reduced by a year.
Holmes is currently being held at Federal Prison Camp Bryan in southern Texas, a minimum security federal prison camp that is approximately 100 miles from Houston, where she grew up before moving to California to attend Stanford.
Holmes was once an icon in the tech world, serving as a poster child for the limitless ambitions and potential of Silicon Valley. Her company began to unravel after a Wall Street Journal investigation in 2015 reported that Theranos had only ever performed roughly a dozen of the hundreds of tests it offered using its proprietary technology, and with questionable accuracy. It also came to light that Theranos was relying on third-party manufactured devices from traditional blood testing companies rather than its own technology. Theranos ultimately dissolved in September 2018.
The Federal Bureau of Prisons declined to provide information on the move, saying it doesn’t discuss “the conditions of confinement for any individual, including release plans.”
“BOP assigns individuals to facilities based on several factors. These include the level of security and supervision required, medical or programmatic needs, separation or security considerations necessary for the individual’s safety, and other relevant factors, such as proximity to the individual’s release residence,” the spokesperson told CNN Wednesday.
CNN has reached out to Holmes’ attorneys for comment.
Halfway houses, also known as residential reentry centers, offer a supervised environment for inmates nearing release and services including career counseling and financial management assistance, according to the bureau.
The Austin Transitional Center is a 460-bed “community corrections center” owned by a private prison company. It’s located about 7 miles southeast of downtown Austin and is one of eight residential reentry centers in Texas.
Holmes’ sentence reduced months ago
Holmes, 42, began serving her sentence in May 2023 and was scheduled for release in February 2030, according to the Federal Bureau of Prisons.
News of the move comes about six months after a federal judge reduced Holmes’ prison sentence from 135 months to 123 months, finding she qualified for a retroactive sentencing-guidelines reduction for offenders who had no prior criminal history and met other conditions, according to a March court order.
Holmes had also asked President Donald Trump for an early release from prison, according to a request filed with the Department of Justice. The White House earlier this year told CNN it does not comment on clemency requests.
Her attorneys argued last year that Holmes had “maintained an excellent record post-sentencing” and did not receive a single citation or disciplinary infraction during her incarceration. Holmes “dedicated herself to being an engaged prisoner, serving other women, and actively seeking opportunities to make a difference,” the attorneys wrote in their motion.
The government had objected to the resentencing, arguing Holmes caused “substantial financial hardship” to victims, had not accepted responsibility for her crimes, paid minimal restitution and can reoffend, according to court documents.
Judge Edward Davila ultimately found Holmes eligible for the reduction but emphasized it “does not diminish the enormity of Holmes’s crimes.”
Holmes started Theranos, once valued at $9 billion, as a college student and quickly became one of the most well-known women in Silicon Valley thanks to her promise to upend the healthcare industry. Theranos claimed its technology could accurately and efficiently test for conditions like cancer and diabetes with just a few drops of blood. It attracted $945 million in financing, a board of well-known political figures and prominent retail partners.
In 2018, Holmes and Theranos President Ramesh “Sunny” Balwani were each charged with wire fraud and conspiracy to commit wire fraud. Both pleaded not guilty. In 2025, a US appeals court upheld their convictions. It also upheld the $452 million in restitution that Holmes and Balwani were ordered to pay to victims.
Earlier this year, Holmes had gained renewed attention online after posts again began appearing on her X account, including a post lauding Trump’s health care affordability efforts. The Holmes account, which also features posts about Holmes’ husband, children and activities in prison, notes that posts are “mostly my words, posted by others.” It’s not clear who is managing the account.
“We are continuing to fight for my innocence and we know the truth can not be repressed for ever (sic),” Holmes’ account posted in January.
This is a developing story and will be updated.
The-CNN-Wire
™ & © 2026 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.
CNN’s Catherine Thorbecke contributed to this report.
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