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Scrushy to Testify in Federal Trial

By Associated Press

Birmingham, AL – HealthSouth founder Richard Scrushy is finally going to give his side of the story about the fraud that nearly ruined the Birmingham-based rehabilitation company.

Scrushy is scheduled to testify Wednesday morning in a lawsuit where shareholders want him to pay $2.6 billion for what they claim was his role leading a huge accounting scam. It will be Scrushy's first public sworn testimony about the scheme.

Shareholders have presented witnesses who blamed Scrushy for the fraud. But the defense contends Scrushy did nothing wrong, and a jury acquitted him on criminal charges in the case in 2005.

Scrushy is temporarily out of federal prison, where he's serving time for his conviction in a state bribery case.

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