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Nacchio indicted on 42 counts
By Greg Griffin and Beth Potter, Staff Writers
Denver Post
Tuesday, December 20, 2005

Former Qwest chief executive Joe Nacchio was indicted this morning on 42 counts of insider trading.  News of the indictment came shortly after Nacchio arrived at a federal building downtown early today with his attorneys for a meeting with an FBI agent.

At about 8:05 a.m., Nacchio and attorneys Herbert Stern and John Richilano walked into the FBI offices in the Byron G. Rogers Federal Building at 1961 Stout St.

They waited in the lobby near a security magnetometer for about 10 minutes before going to the 18th floor, where they asked to meet with an FBI agent, Susan Montoya.  FBI spokeswoman Monique Kelso would not comment on the nature of Nacchio's visit to the agency offices.

Nacchio and his attorneys declined to comment about his potential indictment on insider trading charges.

"Are you here for an indictment today, sir?" a Post reporter asked Nacchio.  He didn't respond.

"Are you going to be testifying to the FBI?" the reporter persisted.

At that point, Stern, Nacchio's lawyer, asked, "What do you want from us?"

The reporter said, "I want to attend any hearing you're involved with."

Nacchio and the lawyers were silent about the possibility of a hearing.

A spokesman for the U.S. Attorney in Denver also would not comment.

Sources have said Nacchio, who arrived at Denver International Airport Monday night on a United Airlines flight from Newark, N.J., could be indicted on criminal insider-trading charges as early as this morning.

When he arrived Monday night, Nacchio was dressed casually in a sweater, open collar and long black jacket.  This morning, he also wore a long black jacket, but this time over a suit and tie.

If Nacchio surrendered himself for arrest this morning, he will appear later today for an appearance before a federal magistrate, who will advise him of his charges and post bond.

His arraignment, in which Nacchio would enter his plea, could happen today or be scheduled in the next few weeks. Nacchio and his attorneys have said he did nothing wrong at Qwest and that he will vigorously defend himself against any charges.

Investigators are said to be focusing on stock sales Nacchio made in 2001.

Staff writer Greg Griffin can be reached at 303-820-1241 or at