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Judge Freezes Assets Of Jailed HealthSouth Founder

Birmingham, AL – A judge has frozen the assets of jailed HealthSouth Corp. founder Richard Scrushy, who was ordered to pay $2.87 billion after being found liable for the fraud that nearly wrecked the company.

Jefferson County Circuit Judge Allwin E. Horn issued the order Tuesday at the request of lawyers who won the judgment against Scrushy. The decision bars Scrushy from selling or concealing his holdings while the other side tries to collect.

Horn ruled in a civil lawsuit that Scrushy led the fraud at HealthSouth, even though he was cleared of criminal charges three years ago.

Scrushy is serving about seven years in federal prison after being convicted in a state bribery scheme with former Gov. Don Siegelman.

(Copyright 2009 by The Associated Press. All Rights Reserved.)

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