Business Ethics Is Focus Of Lecture By Aaron Beam
Wednesday, December 2 at 4:30 p.m.
The focus of Beam’s lecture is taken from his book HealthSouth, The Wagon to Disaster. The book tells the story of Beam’s involvement in one of America’s most successful healthcare companies and consequently, the perpetrator of one of the biggest fraud cases in history.
In 1984, Beam co-founded and became the chief financial officer of HealthSouth, the nation’s largest provider of outpatient surgery and rehabilitative services. As the company’s revenues grew to more than $3.5 billion, Beam enjoyed the many rewards that corporate success can bring, up until 1996 when the company’s earnings fell slightly short of its goal. That is when, according to Beam, HealthSouth’s chief executive, Richard Scrushy, ordered the books to be fixed.
Beam continued to fix the books for four quarters until 1997 when he resigned from the company in anguish. For several years after, he mistakenly believed that HealthSouth was making its numbers. In reality, the fraud continued until 2003 when it was made public by one of Beam’s successors. He and each of the other four CFOs testified against Scrushy, when the case went to trial in 2005. Beam pled guilty to bank fraud and served three months in a federal prison for his part.
For more information on Aaron Beam or the lecture, contact the Accounting Department, at 716-888-2870.
Canisius College is one of 28 Jesuit colleges in the nation and the premier private college in Western New York. Canisius prepares leaders - intelligent, caring, faithful individuals able to pursue and promote excellence in their professions, their communities and their service to humanity.
Date released: 11/24/2009
