Introduction
On March 18, 2003, a federal law enforcement task force executed a search warrant at the Birmingham, Alabama offices of HealthSouth Corporation. The task force seized thousands of documents maintained in the company's executive offices as well as its financial, accounting, and information technology departments.
Within five weeks, nearly a dozen current and former HealthSouth executives, including five who had served as chief financial officer, would plead guilty to criminal violations of federal securities laws and related statutes.
This case highlights lessons learned from interviews with former HealthSouth CFO, Weston Smith.
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