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HealthSouth won a $2.9 billion civil fraud case against Scrushy and says it has information the judge should consider before she opens the way for Scrushy to form and take the helm of a new company. District Judge Inge Johnson on Tuesday granted a request by HealthSouth attorneys to have an extra 30 days in which to respond to Scrushy's request earlier this month. Securities and Exchange Commission.
billion fraud for insider trading and accounting fraud.
At a civil trial in Jefferson County Circuit Court in 2009, however, Scrushy was found liable for the accounting scam and ordered to pay HealthSouth more than $2.8 billion in damages.
Scrushy was acquitted in a federal criminal trial related to the alleged $2.7 billion fraud.
HealthSouth plans to weigh in on former CEO Richard Scrushy's efforts to form new company
"Although the brief filed by Scrushy in support of his motion refers to the victims of his fraudulent conduct in quotes as if they are "victims" in name only . HealthSouth's response will demonstrate the tremendous damage done by Scrushy to HealthSouth, its employees and stockholders," HealthSouth's motion states.
Scrushy continues to fight that conviction, despite having completed his sentence last year. A three judge panel of the 11th Circuit Court of Appeals heard arguments in March on Scrushy's efforts to obtain a new trial. Meanwhile he remains on three years of supervised probation.
Scrushy, 60, and now living in Houston, Texas, stated in an affidavit filed earlier this month in federal court in Birmingham that he has talked to potential investors about starting up a company to take advantage of Converse White High Tops Size 4
Scrushy agreed to settle the SEC civil charges in 2007 without admitting or denying the allegations in the SEC complaint. As part of the consent decree settling those charges he paid an $81 million judgment and he agreed to a ban on him serving as an officer or director of any company that has a certain class of securities under the Securities Exchange Act of 1934.
opportunities opened up by Obamacare.
"Some of this evidence, which bears directly on whether or not Scrushy should be relieved from (the prohibition) . will go Converse Chucks White
"Included in HealthSouth's response will be evidence obtained in the course of other litigation arising out of Scrushy's behavior as CEO and Chairman of the Board of HealthSouth and which was obtained after this Court entered the final judgment against Scrushy," HealthSouth states in the motion.
Attorneys for Healthsouth have liquidated some of Scrushy's possessions, including his Vestavia Hills house and artwork. If he were to make money off a new business venture, they would go after that too, one attorney said this afternoon.
But in 2006 Scrushy and former Gov. Don Siegelman were convicted of bribery and honest services fraud. Prosecutors alleged Scrushy bought a seat on a hospital regulatory board by arranging $500,000 in donations to Siegelman's 1999 campaign to establish a state lottery.
CEO Richard Scrushy should be allowed to create and serve as an officer in a new healthcare company, HealthSouth says it wants to weigh in on the issue.
beyond the allegations of accounting fraud made by the SEC.," the motion states.
The 2007 settlement stemmed from the SEC's filing of a 2003 civil enforcement lawsuit against HealthSouth and Scrushy for an alleged $2.7 Converse Unisex Leather
In a separate matter, Scrushy completed a federal prison sentence last year in an Alabama government corruption case.
HealthSouth All White Converse High Tops Womens states in its motion this week that it has evidence, which the SEC does not have, relevant to issues raised by Scrushy in his request to lift the sanction, "and which will be beneficial to the court in deciding Scrushy's Motion."
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