SEC Bans Former HealthSouth Exec

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A former HealthSouth assistant comptroller has been barred from working at a public company. Monday's directive was issued by the Securities and Exchange Commission.

The order means Kenneth Livesay is forbidden to practice before the SEC as an accountant. He was accused of ordering other employees to record fictitious assets on the Birmingham-based company's books.

In March 2003, the SEC sued the company on allegations of overstating its earnings by at least $1.4 billion.

Chief Executive Richard Scrushy still faces charges. He has denied wrongdoing.

SEC officials said Livesay, who was employed at HealthSouth from 1989 to 1999, accepted the ban without admitting or denying wrongdoing.

He's also banned from serving as an officer or director at a public company. He has also agreed to cooperate with the SEC in the future in related cases.

A lawyer for Livesay was unavailable to comment.