Former WorldCom Executives Settle Class Action Suit

By Danielle Briones

Published on August 04, 2005

The terms of the settlement includes the forfeiture of former finance chief Scott Sullivan's Boca Raton mansion and retirement account, yielding about $5 million and $200,000 respectively.

Plaintiff attorneys did not seek cash from two other executives, David Myers and Buford Yates.

Investors filed a lawsuit against former WorldCom executives, board members, investment banks, and an auditing firm, alleging these parties should have detected the $11 billion fraud scheme.

Plaintiff attorneys say they have recovered more than $6 billion in settlements.

Sullivan, Myers, and Yates assisted the government in its case against Bernard Ebbers, the former CEO of WorldCom. He has been sentenced to 25 years in prison and gave up most of his assets.

Sullivan, Myers, and Yates are scheduled to be sentenced in August.

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