Posted Jul 27, 2007 08:30 pm CDT
Updated: A federal judge has ordered the ex-CEO of Qwest Communications to serve six years in prison for insider trading.
Joseph Nacchio was also ordered to forfeit $52 million in profits from illegal stock trades and to pay $19 million in fines, the Denver Post reports.
Nacchio cried before U.S. District Judge Edward Nottingham imposed the sentence. The judge said Nacchio committed “crimes of overarching greed,” the Rocky Mountain News reports.
Prosecutors had recommended a seven-year, three-month prison sentence.
The courthouse gallery was full of retirees, academics and former judges who were interested in the hearing.
Curtis Kennedy, attorney for the Association of U S West retirees, arrived outside the courthouse with a lawn chair shortly after 2 a.m. He told the Rocky Mountain News that many retirees lost substantial amounts of money on Qwest stock.
Nacchio was convicted of 19 counts of insider trading in April. Prosecutors had alleged he sold Qwest stock when he knew of the company’s financial problems, but did not disclose them.
Originally posted 07-27-2007 at 10:56 AM.