Digital Media Center
Bryant-Denny Stadium, Gate 61
920 Paul Bryant Drive
Tuscaloosa, AL 35487-0370
(800) 654-4262

© 2024 Alabama Public Radio
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations

Ex-Ala. CEO Barred From Assuming Executive Role

The Supreme Court has declined to disturb the conviction of former HealthSouth CEO Richard Scrushy on bribery and fraud charges.
WBRC
The Supreme Court has declined to disturb the conviction of former HealthSouth CEO Richard Scrushy on bribery and fraud charges.

A federal judge in Alabama has ruled that a former HealthSouth CEO is unfit to lead a new public company.

A U.S. District Court judge denied a request by ex-HealthSouth CEO Richard Scrushy to lift a sanction prohibiting him from assuming an executive position in companies that sell securities to the public.

In 2003, the Securities and Exchange Commission sued HealthSouth and Scrushy for fraud an insider trading. Scrushy was indicted in 2009 on federal bribery and fraud charges for funneling $500,000 in donations to ex-Gov. Don Siegelman's lottery campaign. In exchange, Scrushy was appointed to a position on a state hospital regulatory board.

Scrushy asked a judge to lift the sanction so he could form a new company to capitalize on federal health care legislation.

Related Content
News from Alabama Public Radio is a public service in association with the University of Alabama. We depend on your help to keep our programming on the air and online. Please consider supporting the news you rely on with a donation today. Every contribution, no matter the size, propels our vital coverage. Thank you.