The former CFO and executive vice president of defunct FPA Medical Management, La Jolla, Calif., was convicted of falsifying earnings reports and loan information. A San Diego jury found Steven Mark Lash guilty of six counts of wire fraud and one count each of mail and bank fraud. Lash is scheduled for sentencing in February and faces up to 65 years in prison, as well as up to $2.75 million in fines. FPA led the implosion of the physician practice management industry in the late 1990s, filing for Chapter 11 bankruptcy protection in July 1998 after reporting eight consecutive quarters of record profits. The company was subsequently liquidated. Prosecutors said Lash lied to investors and the Securities and Exchange Commission about FPA's earnings, cash flow and financial position. The U.S. attorney in San Diego estimated that Lash's scheme cost Fleet National Bank and other financial institutions more than $315 million. -- by Mark Taylor
Former CFO convicted of falsifying FPA's finances
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