Richard Scrushy and HealthSouth Essay

During my courses, I frequently remind students that most corporate executives, accountants, and auditors are honest and ethical. This case provides a stark and powerful example of one such individual. When I discuss a case such as this in my courses, I try to provide other examples of positive role models among corporate executives. Granted, most of these examples do not involve accounting or auditing matters, but, nevertheless, they help to blunt the impression that students may receive from studying my cases that most corporate executives are “crooks.”

In 1984, Richard Scrushy founded HealthSouth in Birmingham, Alabama. Scrushy was the company’s Chairman and Chief Executive Officer (CEO) when the company went public in 1986. HealthSouth grew quickly over the next several years. Shortly after HealthSouth went public, it is alleged that Scrushy instructed senior staff to materially inflate the company’s earning to match expectations. In 2002, the first sign of troubles occurred when Scrushy sold $75 million of HealthSouth stock days before HealthSouth announced a large loss. After this the SEC began to investigate if any insider trading laws had been violated. In 2003,

statement related to a health care program, one count of obstruction of justice, four counts of wire

Meningococcal disease is a disease that can be found worldwide. Meningococcal disease refers to any disease or illness that is caused by the type of bacteria called Neisseria meningitides, also called meningococcus (Meningococcal disease, 2015). The first documented outbreak was over two hundred years ago in Geneva in 1805 which circulated rapidly and killed thirty three people. The first case ever recorded in America was in 1806 in Medford, Massachusetts (Fredericks, n.d.). A European physician, Professor A Weichselbaum, discovered the cause of the mysterious cerebro-spinal meningitis illness in 1887 and Penicillin was the first antibiotic used to fight the disease. In 1978 the first

The story of HealthSouth begins with two of the most well know founders. Richard Scrushy was a bold, charismatic man of middle-class beginnings. He would rise from a mason to one of the highest earning CEO’s in the country due mainly to his ability to drive, charm, and manipulate those around him. Driven by the desire to attain wealth and status Scrushy was hired in at LifeMark where he rose through the ranks as a result of his unbridled competitive nature and workaholic tendencies.

Anthem Inc. is one of the largest health benefits company in this country. The merging of WellPoint Inc. and Anthem Inc. in 2004 was the start to this healthcare company. Anthem Inc. is a part of the Blue Cross and Blue Shield Association. They serve people primarily in 14 different states (“Company History, n.d.). At that point in time, it was the largest healthcare security breach in our history (Weise 2015). During 2015 in the month of February, Anthem Inc. announced to the public that it had suffered an attack that affected 78.8 million individuals. The Breach began around February 18, 2014 and was eventually discovered in late January 2015 leading to the announcement early February 2015. It was also concluded that the perpetrator of

This unit develops understanding of the values and principles that underpin the practice of all those who work in health and social care. The essay consider theories and policies that underpin health and social care practice and explore formal and informal mechanisms required to promote good practice by individuals in the workforce, including strategies that can influence the performance of others. The first part of this essay will consider how principles of support are implemented by using Overton house residential care home to evaluate and explain how principles of support are applied. Key concepts such as person-centred approach and dilemmas and conflicts arising from the

Richards is better at explaining the adverse effects of sugar on our health. She is better because she uses facts and statistics rather than personal experience and stories. She appeals to logos through her use of facts and logical explanations which is more convincing than just explaining something that happened to only her like Konie.

The United Healthcare is recognized as a “Charter Medical Incorporated founded by a group of physicians and other health care professionals” in 1974 used to expand health coverage choices for clients whose commission is “helping people live healthier lives and helping to make the health system work better for everyone”(United Health Group). Being a worldwide top seed, United Health Group is an expanded health care enterprise, “serving more than 80 million peoples globally with health care benefits” (United Health Group). United Health

Though Humana was founded in 1961, it was not until 1984 until they began marketing products for the health insurance industry. At the time, they were said to have been on of the largest operators of hospitals systems in the United States, until 1993 (Humana 2015). The Humana Inc. we know today, post-1993 has been in an ever-changing reinvention wheel to fit the way we think and acquire health insurance. This industry in its stage of growth continues to expand and evolve, despite political differences, heavily regulation and the strong criticisms even before Patient Protection and Affordable Care Act (ACA) of 2010 (Parnell, 2014).

Full state control took place in 1967. This is unusual in comparison to other health care organizations as very few are under the complete control of the state (www.hhsc.org, 2014).

Summary In 1961, two lawyers, David Jones and Wendell Cherry began a nursing home called Extendicare. Later in 1971 the nursing home was divested and renamed Humana, Inc. Soon after, Humana became one of the largest hospital chains and formed its own insurance company. The company includes a wide variety of products including retail, group and specialty products in addition to various health services and business lines.

After the FBI search on HealthSouth's home office in March 2003, exchanging of the Company's stock on the NYSE was promptly excluded. HealthSouth was likewise expelled from the S&P 500 and its stock was removed from list the next week, after which its shares were exchanged on over the-counter "pink sheets." The stock price had closed at $19.55 on March 18; when trading resumed on March 25, the opening price was only $1.85, and it closed the day at just $0.60 (Berry, 2009).

Faithfulness to Scrushy and his thoughts appears to have been more critical than guardian obligation to shareholders, norms of administration and duty of care.

What makes a healthy person? Surely it is more than just exercising and eating right. When we say healthy aren't we referring to more than just being physically fit and not having any diseases or ailments. But what else is there that makes a person truly healthy? I think that while this physical description of healthy is a good start, there is far more to the story than this. For one to be considered truly healthy I believe that every aspect of their life must be looked at and addressed with the intention of making that person the best person that they can be.