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Thursday, December 23, 2004 10:56:02 AM
Thu Dec 23, 2004 01:45 AM ET
NEW YORK, Dec 23 (Reuters) - HealthSouth Corp. (HLSH.PK: Quote, Profile, Research) is in discussions with the Justice Department about reaching a $325 million settlement of Medicare fraud claims, the Wall Street Journal reported on Thursday.
The healthcare company has said it hoped to resolve its regulatory problems by the end of the year, including an investigation by the Justice Department into Medicare reimbursement issues.
The settlement could be reached next week, people familiar with the matter told the newspaper.
Scandal-plagued HealthSouth has been accused of improperly inflating earnings by $2.7 billion over several years. The company's former chief executive, Richard Scrushy, faces a 58-count indictment for his alleged role in the scandal.
HealthSouth could not be immediately reached for comment.
http://yahoo.reuters.com/financeQuoteCompanyNewsArticle.jhtml?duid=mtfh11564_2004-12-23_06-45-48_n23...
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