Walgreens executive Nimesh Jhaveri described an expansion plan conditioned on operational metrics, while qualifying favorable patient surveys and reported accuracy assurances. Sunil Dhawan testified that his laboratory-director work was limited and that he signed validation reports without having seen the Edison run an assay.
Full day summary
Before the jury entered, the court admitted the email portion of Exhibit 3217 and the fact that it carried an attachment but deferred admission of the CMS attachment. The court also permitted inquiry into when Sunil Dhawan formed a disputed concern about possible patient harm. Roberto Amenta then identified Theranos-related Fedwire transfers, including an August 2015 payment of $1,126,661 to Horizon Media, and explained that the transactions required interstate communication. On cross-examination, he acknowledged that the records did not tell him why the transfers were made or who authorized them.
Nimesh Jhaveri testified that Walgreens evaluated the Theranos pilot through measures including fingerstick use, venous-draw rates, patient volume, wait times, satisfaction, staffing, and cost. He attributed several venous-draw projections to Ramesh Balwani, said the projected thresholds were not met, and described a reduction in the planning goal from 500 stores to 200 as operational concerns persisted. Cross-examination established that Walgreens intended a national rollout and received favorable patient-experience ratings, but Jhaveri maintained that expansion depended on feasibility, performance metrics, and service delivery. On redirect, he explained that the surveys were completed before patients received results and that Theranos selected the survey information provided to Walgreens because Walgreens lacked the raw data.
Dhawan testified that Balwani recruited him for what was presented as a limited laboratory-director role. He estimated that he worked no more than about five to ten hours through June or July 2015 and recalled little involvement with patient results, reporting decisions, or quality control. Shortly before a CMS inspection, he signed 58 validation reports after reviewing their first pages and relying partly on Adam Rosendorff's earlier signatures, although he had never seen the Edison run an assay. Dhawan attended part of the inspection but was asked no questions, said his interaction with Elizabeth Holmes was limited to a greeting, and testified that he learned of resulting regulatory challenges through a July 2016 sanctions-related email. Cross-examination was scheduled to continue the next morning.