Chutzpah: WSJ.com is reporting (sorry, behind pay-wall) that Richard M. Scrushy, the former chief executive of HealthSouth Corp. who was acquitted in June of leading an accounting fraud scheme at the company, is suing the health-care company for firing him.
Scrushy…is seeking more than $70 million for “HealthSouth’s breach of contract.” HealthSouth ended his employment in early 2003, shortly after the accounting scandal erupted.
So, let’s say (I know this is a stretch, but let’s do it for argument’s sake) Scrushy is “innocent.” Still, he is responsible for hiring and managing a team of executives who claim they cooked the books at his direction. That all of this happened on his watch is enough to cause his firing. Can there be any more blatant display of negligent management on the part of a CEO than letting this happen (even, em, if he didn’t actually lead it, himself)?