More than just the financial fraud, these folks engaged in behavior that actively endangered the public. I hope this isn't the end of the government actions against them.
Her public behavior was exceptionally bizarre and almost none of what's been revealed comes as any real surprise. For timeline purposes:
Dec 24, 2017 - They get $100m lifeline investment https://www.wsj.com/articles/blood-testing-firm-theranos-get...
June 21, 2017 - Walgreens settlement https://www.wsj.com/articles/theranos-walgreens-reach-deal-t...
May 30, 2017 - Crisis on the Board https://www.wsj.com/articles/court-documents-shed-light-on-t...
April 21, 2017 - Caught using outside lab gear to fake tests https://www.wsj.com/articles/theranos-secretly-bought-outsid...
April 5, 2017 - Holmes found to owe $25m to her own startup https://news.ycombinator.com/item?id=14047457
Jan 19, 2017 - Closes last lab after failing inspection https://news.ycombinator.com/item?id=13433840
Jan 17, 2017 - second lab fails inspection https://www.wsj.com/articles/second-theranos-lab-failed-u-s-...
Jan 6, 2017 - Lays off 41% of workforce https://news.ycombinator.com/item?id=13338996
Nov 17, 2016 - Whistleblower comes out https://www.kqed.org/futureofyou/283681/theranos-whistleblow...
July 8, 2016 - Banned from operating a lab for 2 years https://news.ycombinator.com/item?id=12053721
Jan 27, 2016 - Letter from the feds https://news.ycombinator.com/item?id=10983747
Dec 20, 2015 - Some skepticism https://news.ycombinator.com/item?id=10765562
Oct 16, 2015 - Struggles with tech https://www.wsj.com/articles/theranos-has-struggled-with-blo...