Richard Scrushy resigned from the board of HealthSouth Corp. on Dec. 5, but said he plans to nominate at least one director for the elections that are scheduled for Dec. 29.
A spokesman for the Birmingham, Ala.-based company said Scrushy missed the deadline to nominate board members, but that Scrushy could make nominations for the next board election. Scrushy issued a news release through his spokesperson Charlie Russell that said Scrushy realizes he won't be a part of the HealthSouth board or management team.
The release didn't state a specific reason for the resignation but said that HealthSouth has denied him all powers that are customary for a director.
The company had requested Scrushy resign from the board since he was fired in March 2003 after the accounting scandal at the company became public. Although officially a member of the board, Scrushy has been barred from board meetings.
The release also said that Scrushy petitioned the Securities and Exchange Commission to amend HealthSouth's proxy statement that called for 10 members of the board. Scrushy would like the shareholders' rights to be increased by allowing a majority of stockholders to enlarge the HealthSouth board and fill the vacancies.
According to a proxy statement filed earlier this month, Duquesne Capital Management is listed as the largest shareholder with 27 million shares, or a 6.8% stake. Scrushy owns 3.7 million shares of HealthSouth stock, and current board members own 5.5 million shares as a group.