Reply #43: Prosecutors, SEC Probe Frist Stock Sale

[tuvor]

WASHINGTON - Federal prosecutors and the
Securities and Exchange Commission have opened investigations of Senate Majority Leader Bill Frist's sales of stock in a hospital operating company founded by his family. Documents show Frist was updated several times about his investments in HCA Inc. and other transactions even though they were held in blind trusts.

Despite the updates, Frist insisted in public statements afterward that he didn't know what was in the trusts, specifically denying knowledge of his HCA holdings.

Nashville, Tenn.-based HCA said Friday it had received a subpoena from prosecutors for the Southern District of New York, asking for documents the company believes are related to Frist's stock sale.

Prosecutors also have contacted the senator's office, Frist spokesman Bob Stevenson said. He said neither the senator nor his office had received a subpoena.

http://news.yahoo.com/s/ap/frist_stock