We Shouldn’t Be Surprised at the Theranos Fraud

Re:We Shouldn’t Be Surprised at the Theranos Fraud by jl2718 on Thursday June 07, 2018 @02:25AM (#17253730)

My question is: where is the due diligence from investors? Nobody even bothers anymore. I’ve begun to think they don’t even care, because they truly believe that money makes success, not people, and certainly not technology.

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Re:We Shouldn’t Be Surprised at the Theranos Fraud by timavr on Thursday June 07, 2018 @03:06AM (#17253866)

Investors rarely do a crazy DD, especially technical DD.

First, it is expensive and second which is most important, it takes time.

When a company is fundraising and investor likes a pitch they prefer to move fast in fear of missing out.

Generally, all the dead bodies are found during the first board meeting.

It is not that much different from just buying stock. No one actually has an idea if any of public companies are cooking books etc. You just wake one day and it is a huge write down.

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Re:We Shouldn’t Be Surprised at the Theranos Fraud by edanm on Thursday June 07, 2018 @04:42AM (#17254288)

That's absolutely wrong.

Remember - the reason Theranos is news is exactly because this doesn't happen often, and one of the reasons this doesn't happen often is that investors are usually smarter about their investments.

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