FOR IMMEDIATE RELEASE
December 22, 2005
www.usdoj.gov/usao/aln



FORMER HEALTHSOUTH EXECUTIVE JASON BROWN SENTENCED

BIRMINGHAM, AL - Jason Brown, of Birmingham, was sentenced today by U.S. District Judge Sharon Lovelace Blackburn to 1 year and 1 day in prison and two years probation for his role in a massive $2.6 billion accounting fraud at HealthSouth. BROWN, 36, previously pled guilty in December, 2003, to falsifying financial records concerning the Company’s sale of stock. As a result, HealthSouth was able to show that the Company sold $27 million in stock in 2002 that it had actually sold in 2001. BROWN also confessed to falsifying the patient volume figures for the Company’s outpatient division to make results appear better than they really were.

“Every executive who participated in this massive fraud had the opportunity, at an early point, to stop this crime and the enormous loss to shareholders,” stated U.S. Attorney Alice H. Martin. “Judge Blackburn has spoken clearly of the public harm done to HealthSouth's shareholders and appropriately imposed prison sentences that will act as a deterrent to other corporate executives,” added U.S. Attorney Alice H. Martin.

Brown is the fifteenth HealthSouth Executive to be sentenced for participating in the accounting fraud scandal. Hannibal Sonny Crumpler, a former HealthSouth executive and former CFO of Source Medical Solutions is scheduled to be sentenced in May 2006.

This case was investigated by Special Agents of the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigation and the United States Postal Inspection Service.
###






- END -

Back to Northern District of Alabama Main Page