UnitedHealth Group: Difference between revisions

In 2001, EverCare, a UnitedHealth Group subsidiary, merged with LifeMark Health Plans<ref>{{cite web |url=http://edgar.secdatabase.com/2528/95013702001930/filing-main.htm |title=UNITEDHEALTH GROUP INC, Form 10-K, Annual Report, Filing Date Apr 1, 2002 |publisher=secdatabase.com |access-date=May 16, 2018 |archive-url=https://web.archive.org/web/20180516175111/http://edgar.secdatabase.com/2528/95013702001930/filing-main.htm |archive-date=May 16, 2018 |url-status=live }}</ref> In 2002, UnitedHealth Group acquired GeoAccess and Medicaid insurance company AmeriChoice.<ref>{{cite news|url=https://www.nytimes.com/2002/06/19/business/company-news-unitedhealth-agrees-to-acquire-americhoice.html | title=UNITEDHEALTH AGREES TO ACQUIRE AMERICHOICE | date=June 19, 2002 | agency=Associated Press| newspaper=The New York Times |url-status=live|archive-url=https://web.archive.org/web/20170307020735/http://www.nytimes.com/2002/06/19/business/company-news-unitedhealth-agrees-to-acquire-americhoice.html|archive-date=March 7, 2017|df=mdy-all}}</ref> In 2003, UnitedHealth Group acquired Mid Atlantic Medical Services, an insurer serving Maryland, Washington D.C., Virginia, Delaware and West Virginia.<ref>{{Cite news| issn=0099-9660 | title=UnitedHealth Agrees to Buy Rival Mid Atlantic Medical| work=The Wall Street Journal | date=October 27, 2003| url=https://www.wsj.com/articles/SB106725362340602300| url-status=live| archive-url=https://web.archive.org/web/20150703120409/http://www.wsj.com/articles/SB106725362340602300| archive-date=July 3, 2015| df=mdy-all}}</ref> Also in 2003, UnitedHealth Group acquired Golden Rule Financial, a provider of health savings accounts.<ref>{{cite web| last=Thomas| first=Trevor| title=Rating Agencies: UnitedHealth To Acquire Golden Rule| work=LifeHealthPro| date=September 23, 2003| url=http://www.lifehealthpro.com/2003/09/23/rating-agencies-unitedhealth-to-acquire-golden-rul| url-status=dead| archive-url=https://web.archive.org/web/20150703045541/http://www.lifehealthpro.com/2003/09/23/rating-agencies-unitedhealth-to-acquire-golden-rul| archive-date=July 3, 2015| df=mdy-all| access-date=July 2, 2015}}</ref> On July 21, 2003, Exante Bank started operating in Salt Lake City, Utah, as a Utah state-chartered industrial loan corporation. It changed its name to OptumHealth Bank in 2008<ref>{{cite press release | url=https://www.businesswire.com/news/home/20080303005991/en/Exante-Financial-Services-OptumHealth-Financial-Services | title=Exante Financial Services Becomes OptumHealth Financial Services | publisher=[[Business Wire]] | date=March 3, 2008 | access-date=June 23, 2019 | archive-url=https://web.archive.org/web/20190623161803/https://www.businesswire.com/news/home/20080303005991/en/Exante-Financial-Services-OptumHealth-Financial-Services | archive-date=June 23, 2019 | url-status=live }}</ref> and to [[Optum Bank]] in 2012.

In 2006, the [[U.S. Securities and Exchange Commission]] (SEC) began investigating the conduct of UnitedHealth Group's management and directors, for [[Options backdating|backdating of stock options]]. Investigations were also begun by the [[Internal Revenue Service]] and prosecutors in the U.S. attorney's office for the Southern District of New York, who subpoenaed documents from the company. The investigations came to light after a series of probing stories in the ''[[Wall Street Journal]]'' in May 2006, discussing apparent backdating of hundreds of millions of dollars' worth of [[stock options]] by UHC management. The backdating apparently occurred with the knowledge and approval of the directors, according to the ''Journal''. Major shareholders have filed lawsuits accusing former [[New Jersey]] governor [[Thomas Kean]] and UHC's other directors of failing in their fiduciary duty.<ref>{{cite news | first=Joe | last=Conason | url=https://www.salon.com/2006/09/15/kean_3/ | title=Jersey hustler | work=[[Salon (website)|Salon]] | date=September 15, 2006 | access-date=June 23, 2019 | archive-url=https://web.archive.org/web/20190623161747/https://www.salon.com/2006/09/15/kean_3/ | archive-date=June 23, 2019 | url-status=live }}</ref> On October 15, 2006, CEO [[William W. McGuire]] was forced to resign, and relinquish hundreds of millions of dollars in stock options. On December 6, 2007, the SEC announced a settlement under which McGuire will repay $468 million, as a partial settlement of the backdating prosecution.<ref>{{cite news | url=https://www.law360.com/articles/41799/ex-unitedhealth-ceo-to-pay-800m-in-settlements | title=Ex-UnitedHealth CEO To Pay $800M In Settlements | work=[[Law360]] | date=December 6, 2007 | url-access=subscription | access-date=June 23, 2019 | archive-url=https://web.archive.org/web/20190623161744/https://www.law360.com/articles/41799/ex-unitedhealth-ceo-to-pay-800m-in-settlements | archive-date=June 23, 2019 | url-status=live }}</ref><ref>{{cite press release | url=https://www.sec.gov/litigation/litreleases/2007/lr20387.htm | title=FORMER UNITED HEALTH GROUP CEO/CHAIRMAN SETTLES STOCK OPTIONS BACKDATING CASE FOR $468 MILLION | publisher=[[U.S. Securities and Exchange Commission]] | date=December 6, 2007 | access-date=September 17, 2017 | archive-url=https://web.archive.org/web/20170711152829/https://www.sec.gov/litigation/litreleases/2007/lr20387.htm | archive-date=July 11, 2017 | url-status=live }}</ref><ref>{{cite news | url=https://www.post-gazette.com/business/businessnews/2007/12/07/UnitedHealth-s-ex-CEO-to-forfeit-millions-to-settle-suit/stories/200712070141 | title=UnitedHealth's ex-CEO to forfeit millions to settle suit | first=JOSHUA | last=FREED | agency=Associated Press | publisher=[[Pittsburgh Post-Gazette]] | date=December 7, 2007 | access-date=June 23, 2019 | archive-url=https://web.archive.org/web/20190623161744/https://www.post-gazette.com/business/businessnews/2007/12/07/UnitedHealth-s-ex-CEO-to-forfeit-millions-to-settle-suit/stories/200712070141 | archive-date=June 23, 2019 | url-status=live }}</ref>