The Association of U S West Retirees



Nacchio urges denial of full court review
By Jeff Smith
Rocky Mountain News
Thursday, May 15, 2008

Joe Nacchio’s attorneys today said the government’s request for a full appellate court review of the former Qwest CEO’s insider-trading case isn’t warranted and should be denied.

A three-judge appellate panel in March had reversed Nacchio’s conviction and ordered a new trial.

Government prosecutors have asked the full 10th Circuit Court of Appeals to review the case and reinstate the 2007 conviction.

In a filing today, Nacchio’s attorneys argued there is nothing in the panel’s decision to warrant such a review.

“The decision does not create any conflict between the circuits or raise an issue of broad significance that might merit” a full review, wrote Maureen Mahoney, Nacchio’s appellate attorney.

Should the court grant the government’s petition, however, it then would only be fair, Mahoney wrote, to review the entire case, including jury instructions and whether the evidence presented by the government at Nacchio’s trial was sufficient.

The three-judge panel said Nacchio deserved a new trial because trial judge Edward Nottingham improperly prevented defense witness Daniel Fischel from providing expert testimony.

Nacchio was convicted last year of 19 counts of insider trading in connection with selling $52 million of stock in April and May 2001 based on information withheld from investors.

Fischel would have testified that Qwest’s stock price wasn’t significantly affected when the information was finally disclosed.