https://www.businessinsider.com/ubiome-cofounders-zachary-apte-jessica-richman-sec-charges-2021-3

Jessica Richman and Zachary Apte, the cofounders of the now shuttered microbiome company uBiome, are facing criminal and civil charges stemming from their efforts to build uBiome into a poop-testing powerhouse.

The Securities and Exchange Commission alleged that Richman and Apte defrauded investors out of $60 million by giving a false impression of how well the company was doing. The married cofounders are also facing criminal charges in federal court in California. They were indicted on Thursday on charges including healthcare fraud and wire fraud, as well as related conspiracy charges.

The SEC complaint alleged Richman, 46, and Apte, 36, portrayed uBiome as receiving health-insurance reimbursements for its tests, which tested poop samples for different conditions related to gut health. The complaint alleged the cofounders made millions as uBiome raised money from investors.

“We allege that Richman and Apte touted uBiome as a successful and fast-growing biotech pioneer while hiding the fact that the company’s purported success depended on deceit,” Erin Schneider, the director of the SEC’s San Francisco regional office, said in a statement.