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Scrushy found guilty of fraud charges
Former HealthSouth CEO Richard Scrushy was found guilty of bribing the governor of Alabama in a closely-watched case. A jury in Birmingham found both Scrushy and former Alabama governor Don Sigelman guilty of federal fraud charges. Prosecutors say Scrushy paid $500,000 to Sigelman for a guaranteed seat on the state's hospital board. The former executive was found guilty of bribery, mail fraud and conspiracy charges. Legal analysts expect both Scrushy and Sigelman to face "significant" jail time, although their sentences will most likely be served at minimum security federal facilities if their appeals fail. A year ago, Scrushy was acquitted of charges related to the spectacular $2.7 billion accounting fraud that brought the chain of rehabilitation hospitals down. He still faces a civil suit over the matter.
- read this article from The New York Times
PLUS: When a Birmingham jury found Scrushy innocent last year, many thought the verdict had something to do with the executive's abrupt embrace of evangelical Christianity and a string of appearances at local churches. Article
ALSO: Despite the verdict against him, Scrushy remains defiant. The ex-CEO vocally proclaimed his innocence in a statement on the court house steps in vintage Scrushy style: "This is a sad day in America. There is no evidence to tie me to the charges," he said. "I am disappointed in the whole situation. I think it's wrong. Few people know this, but I took a lie detector test and passed it with flying colors. There is no evidence that ties me to any of these charges." Article
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