uBiome's board tapped Milbank's George Canellos to run investigation

A special committee of uBiome's board is overseeing an investigation into the microbiome-testing company's billing practices after the FBI raided the startup on April 26. Business Insider has learned that the investigation is led by Milbank partner George Canellos, who serves as global head of the firm's litigation and arbitration group. In a letter to investors sent Wednesday, uBiome's interim CEO John Rakow revealed that beyond the FBI, the US Attorney's Office for the Northern District of California and “several other US and California governmental agencies” were involved in the April 26 search.Visit Business Insider's homepage for more stories.The board of microbiome-testing company uBiome has picked a former federal prosecutor to lead an independent investigation into the company's billing practies. George Canellos a partner in Milbank's New York office and global head of its litigation and arbitration group, will run the probe, Business Insider has learned. The plan is to gain a better understanding of how the company was operating and bring the results to the government and investors, according to two people familiar with the matter. On April 26, the FBI raided uBiome's headquarters, reportedly over the company's billing practices. Customer complaints obtained by Business Insider show a pattern of sending patients unexpected bills of up to $3,000 for years.After the raid, the company placed its founders and co-CEOs, Jessica Richman and Zac Apte, on administrative leave. John Rakow, the company's general counsel, is acting as the interim CEO, and uBiome has said publicly that it plans to cooperate with investigations and that it has launched its own investigation into its company's billing practices. The company also suspended sales of two of its products.Read more: Silicon Valley startup uBiome raised $105 million on the promise of exploring a 'forgotten organ.' After an FBI raid, ex-employees say it cut corners in its quest for growth.Canellos previously worked at the US Securities and Exchange Commission where his roles included co-director of the Division of Enforcement and director of the SEC's New York regional office. He also spent nine years at the US Attorney's Office for the Southern District of New York. UBiome and Canellos didn't respond to requests for comment.In a letter to investors sent Wednesday and obtained by Business Insider, Rakow laid out his immediate plans.Among his top goals is “restoring the company's credibility, including restoring the integrity of uBiome's leadership and billing practices,” he wrote.The letter reveals that beyond the FBI, the US Attorney's Office for the Northern District of California and “several other US and California governmental agencies” were involved in the April 26 search.uBiome has raised $105 million from investors including OS Fund, 8VC, Andreessen Horowitz, and Y Combinator, racking up a $600 million valuation. The company runs lab tests that provide information about the bacteria in your body, called the microbiome. Most of the tests work by having customers use a swab to take a sample of their poop from recently used toilet paper.

uBiome董事会的一个特别委员会正在监督FBI在4月26日袭击创业公司之后对微生物测试公司的计费实践的调查.Business Insider了解到调查是由Milbank合伙人George Canellos领导的。担任公司诉讼和仲裁小组的全球负责人。在周三发给投资者的一封信中，uBiome的临时首席执行官John Rakow透露，除了联邦调查局之外，加利福尼亚州北部地区的美国检察官办公室和“其他几个美国和加州政府机构”也参与了4月26日的搜索。访问商业内幕更多故事的主页。微生物检测公司uBiome的董事会已经选择了一名前联邦检察官来领导对公司计费实践的独立调查。 Business Insider了解到，米尔班克纽约办事处的合伙人兼诉讼与仲裁集团的全球负责人乔治•卡内洛斯将负责调查。据两位知情人士透露，该计划旨在更好地了解公司的运营方式，并将结果带给政府和投资者。 4月26日，联邦调查局突击搜查uBiome的总部，据报道该公司的计费行为。 Business Insider获得的客户投诉显示了多年来向患者发送高达3,000美元的意外账单的模式。在突袭后，该公司将其创始人和联合首席执行官Jessica Richman和Zac Apte放在行政休假上。该公司总法律顾问John Rakow正在担任临时首席执行官，uBiome公开表示，它计划与调查合作，并已对其公司的计费实践展开调查。该公司还停止销售其两款产品。阅读更多：硅谷创业公司uBiome筹集了1.05亿美元用于探索“被遗忘的器官”的承诺。在联邦调查局突然袭击之后，前雇员说它在寻求增长方面做出了切入点.Canellos之前曾在美国证券交易委员会工作。他的角色包括执法部门的联合主任和美国证券交易委员会纽约地区办事处的主任。他还在纽约南区的美国检察官办公室工作了九年。 UBiome和Canellos没有回复评论请求。在周三发给投资者的一封信中，由Business Insider获得，Rakow制定了他的近期计划。他的最高目标是“恢复公司的信誉，包括恢复uBiome领导层的诚信他写道。这封信显示，除了联邦调查局之外，加利福尼亚州北部地区的美国检察官办公室以及”其他几家美国和加利福尼亚州政府机构参与了4月26日的搜索工作.uBiome已经筹集了1.05亿美元资金。包括OS Fund，8VC，Andreessen Horowitz和Y Combinator在内的投资者估值达6亿美元。该公司进行实验室测试，提供有关您体内细菌的信息，称为微生物组。大多数测试的工作原理是让顾客使用棉签从最近使用过的卫生纸上取样他们的便便。