When healthcare giant WellPoint Inc. ousted its top financial officer last week, it said only that the executive had violated its code of conduct.
The parent company of Blue Cross of California said an inquiry "did not reveal illegal conduct and policy violations were in no way related to the business of WellPoint."
On Monday, hints began to emerge on what may have contributed to the departure of David Colby, 53, a highly regarded executive who was a key player in the merger that made Blue Cross, the state's largest health insurer, part of WellPoint.
Colby's sudden sacking came days after a Ventura County woman filed a lawsuit against him claiming he had promised her his Thousand Oaks home, a mansion in the gated golf community of Lake Sherwood valued at more than $4 million.
The same day that WellPoint announced Colby's departure, the company received a subpoena from a lawyer for the woman, Rita DiCarlo, who has lived in the home for some time.
The subpoena seeks e-mails and text messages from Colby. DiCarlo, who allegedly has hundreds of e-mail and text messages documenting her relationship with Colby, also has sold book and movie rights to a Hollywood producer.
DiCarlo's purported relationship had apparently been underway for more than a year. In February of 2006, the Indianapolis Star published a notice of Colby's engagement to DiCarlo and their planned summer wedding.
"They have a home in Lake Sherwood, California, and Dave commutes often for work," the paid announcement said. "The wedding will be a private ceremony with Dave's two children ... on the 12th hole at Sherwood Country Club."
The wedding didn't come off. Colby's divorce from his second wife is pending. DiCarlo remains in the Lake Sherwood home. In the lawsuit, she is seeking legal title to the house.
The suit also raised questions about what top executives at WellPoint knew about this, when they knew it, whether the alleged relationship had anything to do with the sudden departure of Colby, and whether corporate resources, such as computers and telephones, were involved.
The Indianapolis-based healthcare giant remains mum about what prompted its board and two top officers to demand the resignation. The company declined to make Chairman Larry Glasscock available for comment.
Colby could not be reached. A call to his cellphone went unreturned. His lawyer declined to comment.
