Home » NEWS » Manufacturing » Event to feature ex-HealthSouth officer

Event to feature ex-HealthSouth officer

STARKVILLE — A Sept. 24 public program at Mississippi State University (MSU) will feature an eyewitness’ account of how the collapse of Birmingham, Ala.-based HealthSouth became one of the biggest corporate frauds in history.

“A Wagon to Disaster” is the title of a presentation by Aaron Beam, the healthcare company’s former CFO. The program begins at 3:30 p.m. in the Taylor Auditorium of McCool Hall, home of the university’s College of Business.

Beam’s campus visit is a featured event of the 2009 MSU Accounting Convocation sponsored by the college and its Adkerson School of Accountancy.

HealthSouth, the nation’s largest provider of outpatient surgery and rehabilitative services, was founded by Beam and Richard Scrushy in 1984. Revenues grew to more than $3.5 billion until 1996, when earnings fell just short of a publically announced goal. According to later court testimony, Scrushy, the company’s chief executive, ordered at that point that the books were to be “fixed.”

Beam resigned from the company in 1997. Over subsequent years, he came to believe that HealthSouth again was making its Wall Street numbers, though, in reality, Scrushy’s eventual billion-dollar fraud was continuing.

In 2003, the reality was made public by one of Beam’s successors. When the case came to trial in 2005, Beam and the four other CFOs testified against Scrushy (who eventually was convicted after two trials). In the meantime, Beam pleaded guilty to bank fraud.

Beam, who now shares his experiences and ethical regrets with national audiences, has called corporate greed “the Black Plague of the financial world,” as well as a major threat to America’s ability to maintain free-market capitalism.

BEFORE YOU GO…

… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Wally Northway

Leave a Reply

Your email address will not be published. Required fields are marked *

*