Hare Wynn’s John Haley settles for $133 million against UBS in Tucker v. Scrushy.
This was a shareholder derivative suit on behalf of HealthSouth Corporation. It alleged that UBS Securities knew about Richard Scrushy’s accounting frauds at HealthSouth, yet helped Scrushy to continue to make acquisitions and to continue to sell securities to investors based on false glowing reports about the state of HealthSouth’s business. That is, UBS aided and abetted the pre-2003 accounting frauds going on inside HealthSouth. The case settled for $133 million.