An anonymous source helped unravel Theranos for WSJ reporter Carreyrou

Charlotte Hu and Lydia Ramsey of Business Insider write about how an anonymous source helped Wall Street Journal reporter John Carreyrou unravel the problems at blood testing company Theranos.

Hu and Ramsey write, “From that point, it took him about 2 1/2 weeks to make his first contact with Beam (a pseudonym). After one phone call, Carreyrou knew he had a great story on his hands. Beam told Carreyrou everything he knew about the company. The offenses he said he witnessed included cheating on proficiency tests for the technology and providing false data to patients.

“‘He was the biggest hero of the story, but he was also a very reluctant hero,’ Carreyrou said. By speaking with Carreyrou, Beam subjected himself to speculation and relentless harassment from Theranos.

“After Beam’s recount, Carreyrou went back and reread past coverage on Theranos and Holmes. The lack of peer-reviewed data to back up the company’s scientific claims, Holmes’ vague descriptions about how Theranos’ blood-testing technology worked, and the secrecy that shrouded day-to-day operations at the company stood out to Carreyrou.

“It became clear to him that there was a discrepancy between what Holmes portrayed to the public and the reality, and he said that discrepancy was perpetuated through lies, including one regarding the nature of her relationship with Sunny Balwani — a company executive and Holmes confidant— to the board of Theranos.”

Read more here.