Scrushy: Report from Birmingham

Name	Position		Notes
HealthSouth Executives
Richard M. Scrushy		(founder) CEO 1984-2002, 2003 Chairman of the Board	The SEC has filed a seven count complaint against Scrushy. They are seeking recovery of "ill-gotten gains and losses avoided." According to the complaint, this includes over $200 million dollars from stock sold during the fraud, 10s of millions he got from performance bonuses, stock he bought and retained during the fraud, and even his base salary that they reason he would not of obtained if it were not for the fraud. (Judge Inge Johnson). Scrushy also faces at least 37 pending civil lawsuits- 10 from insurance companies, 23 from holders of HealthSouth stocks or bonds, and 5 involving HealthSouth employee benefits.
Aaron Beam		(founder) CFO 1984-1997	Pled guilty to the conspiracy in criminal court. He has no SEC filing against him, but he is a named defendant in 13 other lawsuits, 10 involving insurance companies, 2 brought by stockholders and 1 as a trustee of the HealthSouth employee benefit plan.
William Owens		Controller (1986-2000, 2003), CFO (2000-01), COO (2002-03), CEO (2002-03)	SEC case was stayed until after Owens was sentenced, but it has yet to be resumed. (Judge Scott Coogler) Besides the SEC hearings, Owens is a defendant in 37 lawsuits--10 involve insurance companies, 22 involve holders of HealthSouth stocks or bonds, and 5 concern the HealthSouth employee benefit plan.
Weston Smith		Controller (2000-01), CFO (2001-02)	SEC case was stayed until after Smith was sentenced, but it has yet to be resumed. (Judge Scott Coogler). Besides the SEC case, Smith is a defendant in 21 lawsuits--8 involve insurance companies, 12 are suits filed by HealthSouth stock or bond holders, and 1 involves the employee benefit plan.
Malcolm “Tadd” McVay		Director of Investor Relations (1999-2000), Treasurer (2000-02) CFO (2002-03)	SEC action: Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge William M. Acker, Jr.) He is a defendant in 18 lawsuits: 10 involve insurance companies, and 8 are concerning HealthSouth stock or bond holders.
Michael Martin		Treasurer, CFO (1997 - 2000)	Pled guilty to conspiracy in criminal court. Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge William M. Acker, Jr.) Martin is also a defendant in 29 pending lawsuits: 8 involve insurance companies, 20 are from HealthSouth stock or bond holders and 1 is concerning the HealthSouth employee benefit plan.
Daniel Riviere		Pres & CEO of Ambulatory Services Division	He is a named defendant in 8 civil lawsuits, all involving insurance companies. HealthSouth has also been suing Riviere to recover a loan he took out before leaving the company, in the aftermath of the fraud. The HealthSouth suit and all of the other lawsuits are currently held up because Riviere has filed for bankruptcy.
Pat Foster		Pres & COO Inpatient Services	He is a defendant in 14 lawsuits--9 involving insurance companies and 5 from holders of HealthSouth stocks or bonds.
Eugene Smith		(founder)	No court activity. Was CEO of Meadowbrook, with Mike Martin.
Anthony Tanner		(founder) Corporate Secretary & Compliance Officer	He is a defendant in 20 lawsuits--8 involving insurance companies, 11 from HealthSouth stock or bond holders, and 1 over the HealthSouth employee benefits.
Richard Botts		VP for Tax	Pled guilty in criminal court. He is a defendant in 8 lawsuits all brought by insurance companies. No SEC action was taken against him.
Emery Harris		Asst. Controller (1999-2003)	Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge Inge Johnson) He is a defendant in 10 lawsuits all filed by insurance companies.
Ken Livesay		Asst. Controller (1989-99), CIO	Paid no civil penalty. permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge Virginia Emerson Hopkins) He is a defendant in 12 lawsuits--10 by insurance companies, and 2 from holders of HealthSouth stocks or bonds.
John Midkiff		(founder)
Jim Bennett		President & COO	Indicted in criminal court. Indictment was dismissed without prejudice on 7-19-05.He is a defendant in 20 lawsuits- 9 by insurance companies and 11 from holders of HealthSouth stocks or bonds.
Cathy Edwards		VP	Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge Virginia Emerson Hopkins) She is a defendant in 12 lawsuits--10 by insurance companies, and 2 from holders of HealthSouth stocks or bonds.
Rebecca Kay Morgan		Group Vice President for General Corporate Accounting	Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge Virginia Emerson Hopkins) She is a defendant in 12 lawsuits--10 by insurance companies, and 2 from holders of HealthSouth stocks or bonds.
Angela Ayers		VP	Paid no civil penalty. Permanently barred from serving as an officer of a publicly traded company. Agreed to cooperate with the investigation. (Judge Virginia Emerson Hopkins) She is a defendant in 12 lawsuits--10 by insurance companies, and 2 from holders of HealthSouth stocks or bonds.
Virginia Valentine		Asst. VP	Paid no civil penalty. She was originally barred from serving as a corporate officer, but this was dropped from the final order. Agreed to cooperate with the investigation. (Judge Virginia Emerson Hopkins) She is a defendant in 12 lawsuits--10 by insurance companies, and 2 from holders of HealthSouth stocks or bonds.
Jason Brown		VP of Finance	Plead guilty in criminal court. He is a defendant in 9 pending lawsuits, all from insurance companies.
Catherine Fowler		VP of Treasury & Cash Management	Plead guilty in criminal court. She is a defendant in 10 lawsuits--all filed by insurance companies.
Sonny Crumpler		HealthSouth Division Controller and CFO of Source Medical	Indicted - Jury trial is criminal matter is scheduled to begin on 11-7-05. He has 1 civil lawsuit against him, filed by an insurance company and there is currently no SEC action against Crumpler.
Will Hicks		V P of Investments	Pled guilty in criminal court. Sentencing hearing scheduled for 9-22-05 (Judge Robert Propst). He is a defendant in 6 lawsuits, all from insurance companies.
Thomas Carman		VP of mergers & acquisitions. Executive VP of Corporate Development.	Pled guilty in an unrelated bribery scandal. He is a defendant in 18 lawsuits-9 filed by insurance companies and 8 from holders of HealthSouth stocks or bonds.
Marca Pearson		VP of Benefits	She is a named defendant in two of the insurance cases.
Bill Horton		VP & Corporate Counsel	He is a defendant in 9 lawsuits- 8 from insurance concerns and 1 from stockholders.
Larry House		VP of Operations, Division President	He was also CEO of Scrushy founded company MedPartners 1993-1998. He is a defendant in 15 lawsuits-7 from insurance companies and 8 from holders of HealthSouth stocks or bonds.
Daryl Brown		Pres. & COO Outpatient services	He is a defendant in 17 lawsuits- 8 from insurance companies and 9 from holders of HealthSouth stocks or bonds.
Dennis Wade		Group VP of Human relations	He is named in 2 lawsuits, filed by insurance companies.
Brad Hale		VP of administration	He is a defendant in 17 lawsuits-10 from insurance companies, 2 from stockholders and 5 concerning his role in administering HealthSouth's employee benefits.
Susan Jones-Smith		VP Financial Reimbursement	Invoked 5^th to Congress - Wife of Weston Smith. She is a defendant in 8 law suits, all filed by insurance companies.
Larry Taylor		Pres & CEO of Ambulatory Services	He is a named defendant in 11 lawsuits- 10 from insurance companies and 1 by a holder of HealthSouth stocks or bonds.
Russell Maddox		Pres & COO of HealthSouth Diagnostics	He is named in 7 lawsuits, all from insurance companies. He is also a defendant in one pending case, in Georgia, involving stockholders of HealthTronics.
Jason Hervey		VP for media and communications
Martin Cohen		Senior Managing Director
Leif Murphy		HealthSouth Treasurer	Left company after reporting what looked like fraudulent income on the corporate books. Witness for the prosecution, in the Scrushy case.
Jay Grinney		(Post Scrushy) CEO
Kelly Cullison		Director of compliance	Testified to Congress. Testified for prosecution.
Greg Smith		Chief Auditing officer
Diana Henze		Asst. VP for finance (1998 -2000) Returned to Finance dept. after the fraud.	Testified to house- implicated Livesay & Owens. Testified for prosecution.
Teresa Sanders		Chief Auditor	Testified to house. Witness for the prosecution in Scrushy trial.


HealthSouth Board of Directors
Joel Gordon	1996-2005		Interim Chairman of Board-post Scrushy. He is a defendant in 13 lawsuits-10 of them are from insurance companies and 3 or from holders of HealthSouth stocks or bonds.
Charles Newhall	1985-2004		He is a defendant in 13 lawsuits-10 of them are from insurance companies and 3 or from holders of HealthSouth stocks or bonds.
Dr. Allan R. Goldstein	As of 1991
Phillip C. Watkins	1994-2002		Cardiologist. He is a defendant in 23 lawsuits-10 of them are from insurance companies, 11 are from holders of HealthSouth stocks or bonds, and 2 concern HealthSouth's employee benefit plan.
George Strong	1984-2004		He is a defendant in 14 lawsuits-10 of them are from insurance companies and 4 are from holders of HealthSouth stocks or bonds.
Richard Celeste	1991-1993, 1994-1997		He is a defendant in 16 lawsuits-9 of them are from insurance companies and 7 are from holders of HealthSouth stocks or bonds.
Sage Givens	1985-2004		She is a named defendant in 21 lawsuits-10 of them are from insurance companies and 11 are from holders of HealthSouth stocks or bonds.
John Chamberlin	1993-2004		He is a defendant in 15 lawsuits-10 of them are from insurance companies, 3 are from holders of HealthSouth stocks or bonds, and 2 concern HealthSouth's employee benefit plan.
Larry Striplin, Jr	1999-2004		He is a defendant in 13 lawsuits- 9 of them are from insurance companies, 3 are from holders of HealthSouth stocks or bonds, and 1 concern HealthSouth's employee benefit plan.
Jan Jones	1999-2000		She faces 8 pending lawsuits - 7 are from insurance companies and 1 has been filed by holders of HealthSouth stocks or bonds.
Robert May	2002- Was post-Scrushy acting CEO. He is current chairman of the board.		He is a defendant in 10 lawsuits-8 of them are from insurance companies and 2 are from holders of HealthSouth stocks or bonds.
Betsy Atkins	2003-2003		She is a defendant in 7 lawsuits, all from insurance companies.
Jon Hanson	2002-		He is a defendant in 11 lawsuits - 10 from insurance companies and 1 from a holder of HealthSouth stocks or bonds.
Edwin Crawford	1998-1999		Named as a defendant in 8 lawsuits- 7 of them by the insurance companies, and 1 from a holder of HealthSouth stocks or bonds.
Raymond Dunn	1995-1998(?)		Defendant in two of the insurance company lawsuits.
Lee Hillman	2003-2005		Defendant in two of the insurance company lawsuits.
Owens, Daryl Brown, Martin, Beam, Bennett & Scrushy			Inside board members

Other HealthSouth Employees
Dr. James Andrews	Sports Medicine Clinic - left in 2005
Michael Carney	Administrator & Physical Therapist
Ray Ledbetter	HealthSouth’s chief pilot
Steven Schlatterer	Physical Therapist		Testified to Congress
Teresa Sanders	Chief Auditor		Testified to Congress
Brandi White	Accountant		Testified for prosecution, in Scrushy trial.
James Goodreau	Chief of Security		Testified to Congress. Testified for defense in Scrushy trial.
Neal Webster	Internal Auditor
Bill Massey	Accountant and Personal assistant to Scrushy		Committed suicide after being accused of embezzling money from Scrushy
Andy Brimmer	HealthSouth spokesman
Michael Vines	Managed assets for 500 facilities		Testified to Congress

Legal Case & Government Officials (and adjuncts)
Government
Judge Inge Johnson	US District Judge		Judge in the criminal cases of Harris, Ayers, Valentine and Morgan cases. Also judge in the separate Reilly and Thomson case. Judge in the SEC case of Scrushy and Harris.
Judge Karon O. Bowdre	US District Judge		Judge in most (or all) of the civil lawsuits. Judge in the Scrushy criminal case.
Judge Scott Coogler	US District Judge		Judge in Owens and Smith SEC cases
Judge William M. Acker	US District Judge		Judge in McVay and Martin SEC cases.
Judge Virginia Emerson Hopkins	US District Judge		Judge in SEC cases of Rebecca Kay Morgan, Virginia Valentine, Angela Ayres, Cathy Fowler and Ken Livesay.
Michael Chertoff	Asst. Attorney General		He went from fraud hunter to his current position as Chief of Homeland Security
Gerald Kelly	FBI Agent		Lead LE investigator
Neal Seiden	SEC investigator		Testified in Scrushy trial (before perjury charges were thrown out)
John Worland	SEC Attorney
Alan Lieberman	SEC Attorney
H. Michael Semler	SEC Attorney
Mark Kreitman	SEC Attorney		Withdrawn from case 8-02-05
Alex Rue	SEC Attorney
David Kornblau	SEC Attorney		Withdrawn from case 7-05-05
Madison Graham Loomis	SEC Attorney
Peter Diskin	SEC Attorney		Withdrawn from case 4-08-03
William Hicks	SEC Attorney
Scrushy's team
Donald Watkins	Attorney for Scrushy		Represented Scrushy in the criminal trial and to SEC, but not the civil cases. [Withdrawn from the case 3-30-06]
H. Lewis Gillis	Attorney for Scrushy		Represented Scrushy in the criminal trial, and in SEC and civil cases. Also represents Emery Harris (ex-HealthSouth asst. controller) in civil cases. [Withdrawn from case on 3-23-06]
Art Leach	Attorney for Scrushy		Represented Scrushy in the criminal trial, and in SEC and civil cases.
Les Moore	Attorney for Scrushy		Represented Scrushy in the criminal trial, and in SEC and civil cases. Former employee of HealthSouth.
David Russell	Attorney for Scrushy		Represents Scrushy in both SEC and civil cases.
J Marbury Rainer	Attorney for Scrushy		Represents Scrushy in both SEC and civil cases.
James Richey	Attorney for Scrushy		Represents Scrushy in both SEC and civil cases.
April Williams	Attorney for Scrushy		Represents Scrushy in civil cases but not SEC case. An associate in Gillis' law firm.
Christopher Whitehead	Attorney for Scrushy		An associate in Gillis' law firm. Represents Scrushy in civil cases but not to SEC. Also represents Emery Harris (ex-HealthSouth asst. controller) in civil cases.
Kile Turner	Attorney for Scrushy		Represents Scrushy in both SEC and civil cases.
Edward Angwin	Attorney for Scrushy		Represents Scrushy in SEC case but not civil cases. Also represents Emery Harris (ex-HealthSouth asst. controller) in civil cases.
Gary Baise	Attorney for Scrushy - DC based		Represents Scrushy in both SEC and civil cases.
Jonathon Rose	Attorney for Scrushy - DC based		Withdrawn from case 7-01-05
Raymond Johnson	Attorney for Scrushy		Withdrawn from case 5-25-04
Richard McDermott	Attorney for Scrushy - DC based		Withdrawn from case 7-7-05
Richard Deane	Attorney for Scrushy		Withdrawn from case 7-01-05
Tom Sjoblom	Attorney for Scrushy's civil cases		These guys are from the NY based firm of Chadbourn & Park. The represented Scrushy in the early stages of the criminal case, but were later replaced by Watkins, Parkman and Leach. They were apparently retained by Scrushy for the civil cases, but were terminated from the SEC case shortly after the criminal case was over. [terminated 8-17-05] (Lowell was only assigned to the criminal case)
Scott Balber	Attorney for Scrushy's civil cases
David Lowell	Attorney for Scrushy's civil cases
Charles Russell	PR guy. Image consultant and spokesperson
Investors and Business People associated with HealthSouth
Mathew Mackowski	Citicorp-San Francisco
Geoffrey E. Harris	From Smith Barney		Gave early positive stock evaluations for HealthSouth. When he issued an unfavorable report on the company after Mike Martin spoke to him, believing he was unable to report, the stock dropped.
Bill McGahan	Banker with UBS Warburg		Named as a defendant in 1 lawsuit involving a holder of HealthSouth stocks or bonds.
Benjamin Lorello	Banker with UBS Warburg		Named as a defendant in 1 lawsuit involving a holder of HealthSouth stocks or bonds.
Albert Rice IV	Analyst with Merrill Lynch		Testified in the Scrushy trial.
Miscellaneous Associated people
Monzer Hourani	Architect, engineer and friend of Scrushy. Worked on design of digital hospital		Mentioned in cross-examination of both Owens and Martin
Hope Launius	Girlfriend of Bill Massey		was friend of Leslie Scrushy
Leslie Scrushy	Wife of Scrushy		former employee of HealthSouth
John McRoberts	CEO of Meadowbrook		Partner with Scrushy in Capstone Capital, and founded Meadowbrook with Michael Martin-which did a $45 million deal with HealthSouth
Politicians associated with HealthSouth or Richard Scrushy
Tom Harkin	US Senator - Iowa		democrat
Orin Hatch	US Senator - Utah		republican
Tom Daschle	ex US Senator- South Dakota		democrat
JT Waggoner	State Senator - Alabama		republican - worked at HealthSouth
Newt Gingrich	(former) Congressman - Georgia		republican
J.C. Watts	(former) Congressman - Oklahoma		republican - former football player
W.J. "Billy" Tauzin	US Congressman - Louisiana		Chairman Energy & Commerce - Chaired congressional inquiry
The HealthSouth Corporation and related businesses
HealthSouth			HealthSouth is listed as a defendant in 36 pending civil lawsuits- 10 are from insurance companies, 23 are filed by holders of HealthSouth stocks or bonds, and 3 involve employee benefits.
E&Y	HealthSouth's outside auditors		This company is named as a defendant in 7 lawsuits, all filed by holders of HealthSouth stocks or bonds.
CitiGroup			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
UBS Financial			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Goldman Sachs			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Deutsche Bank			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Merrill Lynch			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Morgan Stanley			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Scotia Capital Markets			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Bear Sterns			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Nationsbank			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
JP Morgan			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Credit Suisse			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Wachovia			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Chase Securities			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.
Wells Fargo Retirement			Named as a defendant in 1 case filed by a holder of HealthSouth stocks or bonds.