Secretary of Defense James Mattis has been serving as window dressing for a massive fraud at the Pentagon, and it is not surprising to find he has been doing the same at Theranos.
In the last few weeks, it has emerged that Mattis has made no serious preparations for a ground war with Norea Korea or a missile strike in spite of his claims to the contrary. He has hidden these failures by classifying war plans and refusing to answer lawmaker’s questions. At the same time, Mattis has been at the spearhead of a campaign to remove from Donald Trump the authority to launch a nuclear missile on the grounds he is “crazy”. In short, he has left the US military open to a crushing defeat in North Korea and America itself open to invasion.
North Korea’s sudden willingness to start negotiations over its nuclear
weapons and missile programme is solely due to the fact that their Chinese and Globalist handlers realize Trump is serious about turning Kim Jong into nuclear dust if he continues to threat the USA.
Up to then, the Globalists clearly knew they had Mattis in their pocket along with Rex Tillerson. Mattis has turned out to be one of the most dangerous, cynical and corrupt con men on corporate boards and in the Pentagon in the history of the US military. He has surfed high on deserved reputation of the marine corps, only to betray them too. For who will have to fight in any ground war in North Korea and suffer huge losses and defeat under Mattis’ plans? The Marine corps too.
Secretary of Defense James Mattis is implicated in one of the largest business scandals of the past decades, described by the Securities and Exchange Commission as an “elaborate, years-long fraud” through which Theranos, led by CEO Elizabeth Holmes and president Ramesh “Sunny” Balwani, “exaggerated or made false statements about the company’s technology, business, and financial performance.”
Basically, their biotech startup was founded on the promise of faster, cheaper, painless blood tests. But their technology was fake.
Mattis not only served on Theranos’s board during some of the years it was perpetrating the fraud after he retired from US military service, but he earlier served as a key advocate of putting the company’s technology (technology that was, to be clear, fake) to use inside the military while he was still serving as a general. Holmes is settling the case, paying a $500,000 fee and accepting various other penalties, while Balwani is fighting it out in court.
Nobody on the board is being directly charged with doing anything. But accepting six-figure checks to serve as a frontman for a con operation is the kind of thing that would normally count as a liability in American politics.
The basic problem, as revealed by the Wall Street Journal’s John Carreyrou in an October 2015 exposé, was that the whole thing was a sham.
Theranos’s key technology, called Edison machines, didn’t really work, and Theranos wasn’t actually using them to perform its blood tests, relying instead on older Samsung equipment. Theranos offered lower prices than the competition not because it had an innovative new product, but because it was a money-losing startup burning cash raised from venture capitalists.
This scheme worked because Theranos was deeply tied in with the American political, business, and media establishment — counting former Secretaries of State Henry Kissinger and George Shultz as board members, and maintaining sufficient clout that Hillary Clinton’s campaign was unwise enough to schedule a high-profile fundraiser with Holmes months after the publication of Carreyrou’s exposé.
But perhaps none of these elite supporters was as valuable as Mattis.
As the SEC complaint describes, a main element of the fraud was that “Holmes, and Balwani claimed that Theranos’ products were deployed by the U.S. Department of Defense on the battlefield in Afghanistan and on medevac helicopters and that the company would generate more than $100 million in revenue in 2014.”
Holmes, the SEC alleged, “knew, or was reckless in not knowing, that these statements were false and misleading.” It’s easy to see, however, why investors might be fooled about this because one of the company’s board members, Mattis, joined Theranos in 2013 immediately after retiring from a long career of military service that concluded with a stint leading CENTCOM, the US combatant command that is responsible for, among other things, Afghanistan.
The SEC charges are new.
But by the time Mattis was selected to serve as Trump’s secretary of defense in January 2017, the basic scope of the fraud was already well-known to the public thanks to diligent journalistic work. So was the fact that Mattis was not only earning $150,000 a year for his service on the Theranos board but was also involved in pro-Theranos advocacy while on active military duty.
He duly resigned from Theranos on January 5, 2017 — by which time the company was already commonly described as “embroiled in scandal” by press reports — but, remarkably, the whole affair didn’t come up at his confirmation hearings.
It’s not exactly rare for members of a corporate board of directors to serve as window dressing with no actual involvement in or knowledge of a company’s operations, so the mere fact that the whole company was a giant scam doesn’t necessarily reflect any action on Mattis’s part. That said, at least in theory, directors are supposed to do something, and serving as window dressing for a massive fraud is the kind of thing that normally reflects poorly on a person’s reputation.
President Donald Trump honored Americans of Greek descent and the influence of ancient Greece on the founding of America as he addressed White House guests during Thursday evening’s Greek Independence Day celebration.
Trump welcomed members of the Greek-American community to the White House for the yearly White House commemoration of Greece’s Independence Day. The White House tradition has been ongoing since 1987. He joked that while he trusts the tradition will continue on for many years, “I’ll only be with you for another seven.”