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Emdeon Hunts for a New CEO

Emdeon Hunts for a New CEO
Martin C. Daks

Concerns over the health of Emdeon (Nasdaq: HLTH) CEO Kevin Cameron has led the company's board of directors to launch a search for a new chief executive. Cameron is expected to continue to head the Elmwood Park-based company, which provides business, technology and information services to health care firms, for the next few months until a new CEO is selected.
Yesterday, the U.S. Attorney for the District of South Carolina announced the indictment of 10 former officers and employees of Emdeon subsidiary Emdeon Practice Services, which was formerly known as Medical Manager Health Systems. The indictments relate to alleged accounting improprieties involving dealer acquisitions and other revenue recognition issues at the Medical Manager subsidiary from 1997 to 2001.

Those under indictment include Michael A. Singer, the former CEO of Medical Manager Health Systems and an ex-director of Emdeon; John Kang, the former president of Medical Manager; and Lee Robbins, the former CFO of Medical Manager. Emdeon says the U.S. Attorney named no members of its current management. Shares of the company traded up $0.08, or 1.01%, to $8 in early trading.

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