Scandal-ridden blood testing company Theranos is laying off the majority of its workforce as it looks to stay afloat and delay bankruptcy for a few more months, according to a report from the Wall Street Journal posted on Tuesday.
With the new layoffs, the company is reducing its headcount from approximately 125 employees to two dozen or fewer. The company had as many as 800 employees in 2015, according to the WSJ report.
The company has not yet commented on the layoffs.
The news comes less than a month after the US Securities and Exchange Commission charged Theranos, its founder & CEO Elizabeth Holmes and former prez Ramesh Balwani with “massive fraud” – charges which Theranos and Holmes agreed to resolve, according to the SEC.
Charges included claims that the company raised more than $700 million from investors in “an elaborate, years-long fraud in which they exaggerated or made false statements about the company’s technology, business, and financial performance,” according to the SEC post.