Theranos founder and chief executive Elizabeth Holmes, once touted as the Steve Jobs of biotech for her company's innovative blood-testing technology, has been barred by a US regulator from owning or operating a lab for at least two years.

The Centers for Medicare & Medicaid Services has revoked a key certificate for its California lab and terminated the facility’s approval to receive government payments.

The sanctions, which include a monetary penalty, come six months after the regulator sent a scathing letter to Ms Theranos, saying its practices were jeopardising patient health and safety.

The company, once valued at $9 billion, was founded in 2003 to develop an innovative blood testing device. However, its fortunes waned after the Wall Street Journal last year suggested the devices were flawed and inaccurate. – (Reuters )