Nacchio victims to have their say
Officials want investors' statements at the ex-CEO's
sentencing. A retiree group welcomes the opportunity.
By Kimberly S. Johnson, Staff Writer
Wednesday, June 27, 2007
The government is looking for victims to testify at the
sentencing of former Qwest chief executive Joe Nacchio,
according to court documents filed Tuesday.
Nacchio was convicted on 19 counts of insider trading in April
and faces up to 10 years in prison and a $1 million fine on each
count. He also may be ordered to forfeit $52 million in
ill-gotten gains at his sentencing July 27.
Victims, according to a proposed order by the U.S. attorney,
would include people or companies that bought shares directly
from Nacchio or shareholders that made investment decisions that
may have been affected by his insider trading between April 26
and May 29, 2001.
The U.S. District Court has allowed the government to solicit
victims by sending a copy of the order to the Association of
U.S. West Retirees and printing notices in the major Denver
"We have a lot of retirees ... (who weren't allowed to change
the direction of their 401(k) investments during that time. I
know they would be interested in writing something," said Mimi
Hull, president of the retirees' association. "It is welcome
While Qwest is listed among Nacchio's victims, a spokeswoman for
the company said Qwest does not plan to make a statement at the
Attorneys for Nacchio did not return a request for comment
Tuesday. On June 1, Nacchio attorney Mark Rufolo told the court
that victims did not have the right to speak at the sentencing.
It is unclear whether the government has investors lined up to
speak at the sentencing. The U.S. attorney's office said it had
no additional comment beyond the filing made in U.S. District
Court in Denver.
Any investor interested in speaking must explain, by July 13,
"why he or she believes he is a victim" and summarize "what he
or she wishes to say at the sentencing," according to the
order. The court is expected to determine who is entitled
to speak at Nacchio's sentencing.
Staff writer Kimberly S. Johnson can be reached at