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The Litigation Side of Forensic Accounting Copyrighted 2001 D. Larry Crumbley, CPA, Cr.FA, CFD KPMG ... - page 7 / 275

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© D.L. Crumbley

A Forensic Accounting Expert Witness

Harvey R. Kelly led the investigation and testified against CEO Richard M. Scrushy (HealthSouth).

He acknowledged turning up “nothing that had Mr. Scrushy’s name on it,” that connected the former CEO to the fraud at HealthSouth. That inflated earnings by $2.7 billion.

“Our job wasn’t to figure out who all the bad guys were. Our job was to help the company get the right numbers and figure out how much the fraud was.”

He and his investigators sifted through millions of documents during their 23,000-hours fraud investigation. PWC was paid about $9 million to conduct the forensic audit in 2003.

HealthSouth deleted old e-mails every 60 days.

Now with the NYC office of Alix Partners LLC, he was being paid about $700 an hour by the government for his testimony

Source: Evelina Shmukler, “Scrushy Team Cross-Examines Forensic-Accounting Witness,” WSJ, February 1, 2005, C-4

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