Former Qwest CEO headed to prison
Dot-com, insider-trading stir
Qwest International's former chief executive is finally heading to jail, nearly two years after being found guilty in a massive case of insider dealing.
Joseph Nacchio is expected to today report to a minimum-security prison in Pennsylvania after a federal appeals court denied his emergency request to remain at liberty while the US Supreme Court considered whether to review his case over dot-com insider trading.
The chances of the Supreme Court Justices actually taking Nacchio's case are extremely slim, and a federal appeals court ordered him to report to the Penn-State Big House as he'd not shown that there was a reasonable chance the Supreme Court would grant his petition for an appeals hearing.
Nacchio was handed a six-year prison sentence in April 2007 having been found guilty on 19 counts of insider trading. The former CEO was also fined $19m and ordered to forfeit $52m in profits from the sales of Qwest stock.
The US Securities and Exchange Commission had alleged 42 counts of insider trading, saying he'd sold $101m in stock after discovering that the telco faced major financial risks.
The SEC had accused Nacchio and six other Qwest executives of inflating earnings by up to $3bn between 1999 and 2002. In 2004, Qwest agreed to settle fraud charges by paying a $250m fine.
Nacchio's conviction was initially overturned by a three-judge panel in 2008, but then re-instated in February this year by a federal appeals court. ®
Joseph Nacchio is one of the biggest crooks in years. Just ask anyone dealing with KPN/Qwest in Europe a few years ago: it looked like such a nice joint venture until Nacchio bailed out and left KPN holding the bag and thousands of customers scrambling to preserve their WAN links.
Biggest headache I've had in years, but at least the boss sprung for backup links from DIFFERENT providers after that ;)
Send him to Leavenworth, please!
Miranda rights for this chump
Officer to Defendant: "I beg your pardon Sir, but, you have the right to remain silent. you have the right to cable tv. You have the right to play a round of golf at least once a day. You hve the right to either a cup of warm milk or three fingers of bourbon before lights out. You have the right to not worry about being sodomized whilst taking a shower. You have the right to a bed time story. You have the right to your choice of fine wines with dinner.
What a joke.
The one with "I'm mildly annoyed" on the back.
It must be nice...
... to be such a rich bigwig (no matter that the money was ill-gotten), he can appeal for years to the supreme court, then get sent to a minimum security resort.