Business
Scrushy leaves HealthSouth board
NEWS IN BRIEF — Posted Dec. 26, 2005
Nearly three years after he was ousted from HealthSouth Corp., Richard M. Scrushy has resigned from the board of the outpatient services giant he founded.
In a Dec. 5 filing with the Securities and Exchange Commission, Scrushy said he was resigning in part because HealthSouth had been excluding him from meetings and denying him access to company information.
Scrushy was fired as chief executive in March 2003 as an accounting scandal unfolded. But HealthSouth couldn't remove him from its board. Instead, the company formed a special panel, so directors could hold meetings without him. Scrushy, who says he was wrongfully terminated, kept his seat on the board.
At least 18 people were charged with crimes in the $2.6 billion accounting fraud. Federal prosecutors accused Scrushy of orchestrating it, but a jury acquitted him on all counts last summer. He still faces civil charges in a lawsuit by the SEC.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2005/12/26/bibf1226.htm.
