A San Francisco jury has found former McKesson chairman Charles McCall guilty of five of six counts of securities fraud. He was acquitted on a single charge of falsifying records.
Federal prosecutors said the former chairman, president, and CEO of HBO & Company covered up that company’s fraudulent activities, allowing it to be acquired by McKesson for $14.5 billion in January 1999. The fraud was discovered three months later, sending McKesson shares into a nosedive.
Former McKesson general counsel Jay Lapine was acquitted on all three charges he faced.
McCall was originally tried on the charges in 2006, but a mistrial was declared. He will be sentenced in March.