Jury acquits ex-HealthSouth CEO
Rehab Regs, June 30, 2005
On Tuesday, jurors acquitted HealthSouth Corp. founder Richard Scrushy of accounting fraud involving a $2.7 billion earnings overstatement, according to the Birmingham News. The 52-year-old was found not guilty on all 36 counts after a 16 week trial and three weeks of jury deliberation. In 2003, federal prosecutors charged Scrushy with various fraud counts and violations of the Sarbanes-Oxley laws. Neither the testimony of five former HealthSouth finance chiefs nor recorded evidence persuaded jurors to convict Scrushy of leading a fraud that nearly bankrupted one of Alabama's largest companies, reported the Birmingham News.
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