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Former CEO of HealthSouth convicted of bribery

Fri 30 Jun 2006

Fraud Prevention

Richard Scrushy, founder and former CEO of HealthSouth Corp., has been convicted of paying $500,000 in bribes to receive a spot on a state board that approves hospital construction projects. The guilty verdicts on six charges included bribery, conspiracy, and mail fraud. The maximum sentence is 20 years in prison, but sentencing won’t happen until at least fall.

The failed defense strategy included comparing Scrushy to civil rights leaders such as Rosa Parks, who suffered injustice.

This conviction follows an acquittal for Scrushy in the trial on allegations of accounting fraud. Scrushy still faces a HealthSouth lawsuit against him related to the accounting fraud, a lawsuit filed by Scrushy against HealthSouth for wrongful termination, and civil charges filed against Scrushy by the SEC.
Here’s a related post about Richard Scrushy.

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