Theranos CEO Elizabeth Holmes baed from ruing labs for two years - CNET

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After months under the microscope, Theranos' CEO Elizabeth Holmes has been baed from operating a laboratory for two years, and the health-tech company's Newark, Califoia laboratory has had its license revoked.

The ruling was made by the federal Centers for Medicare & Medicaid Services, and was aounced by Theranos on Thursday.

"We accept full responsibility for the issues at our laboratory in Newark, Califoia, and have already worked to undertake comprehensive remedial actions," Holmes said. "Those actions include shutting down and subsequently rebuilding the Newark lab from the ground up, rebuilding quality systems, adding highly experienced leadership, persoel and experts, and implementing enhanced quality and training procedures."

Theranos was once a promising company that set out to iovate blood testing. Two years ago, it was valued at $9 billion. But it has faced increased scrutiny, along with civil and criminal investigations, since a Wall Street Joual report in October suggested Theranos' blood-testing devices were flawed. In June, it lost its partnership with US drug giant Walgreens.