An executive who once headed a health insurance giant has agreed to pay $30 million to resolve a federal securities class-action suit, a law firm says.
Dr. William McGuire, the former chairman and chief executive officer of UnitedHealth Group Inc., Minnetonka, Minn., has accepted the settlement in connection with efforts to resolve the suit, which was filed in the U.S. District Court in Minnesota, according to lawyers at Latham & Watkins L.L.P., Washington, who represented McGuire.
In addition to making the cash payment, McGuire has agreed to return about 3.7 million shares of UnitedHealth stock options to UnitedHealth.
McGuire continues to deny the allegations in the class-action complaint, McGuire’s lawyers say.
The lead plaintiff is the California Public Employee Retirement System.