RehabCare's financials are a tale fit only for a CPA.(Outliers: Asides & Insides)(Trinitas Hospital)

Modern Healthcare, February, 2005

Just days before RehabCare Group was going to release its year-end results, the company learned it couldn't. There isn't a simple explanation for this other than to say it's about accounting.

"We had the press releases ready,'' says John Short, president and CEO of RehabCare, a St. Louis-based provider of rehabilitation management services to hospitals and long-term-care facilities. But officials couldn't release the numbers because they were told an independent auditor first had to review the finances of InteliStaf Healthcare, a medical staffing company, in which RehabCare owns a 25% stake. Ernst & Young usually audits InteliStaf's earnings, but the accounting firm told the companies it couldn't because Ernst & Young wasn't independent of RehabCare.

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