Fraud trial starts March 13 for former BestBank execs
Three former BestBank officials charged with fraud in the Boulder institution’s $200 million failure in 1998 will stand trial beginning March 13.
BestBank founder and chief executive Edward P. Mattar III of Florida, president Thomas Alan Boyd of Niwot and chief financial officer Jack O. Grace Jr. of California face multiple counts of fraud, false reports, money laundering, conspiracy, tax evasion and other financial crimes.
Regulators declared BestBank insolvent in July 1998. The Federal Deposit Insurance Corp. covered most of its $200 million in deposits, but large investors lost $27 million.
U.S. District Court Judge Richard Matsch set the trial date for the bank’s executives during a conference with attorneys on Monday. Prosecutors had sought a February date, while defense attorneys wanted April at the earliest.
In August, a federal jury in Denver convicted Douglas Baetz and Glenn Gallant of Florida of operating a credit-card scheme for BestBank. Their sentencing is set for Nov. 11.
Mattar arrived in court after Monday’s hearing had ended. His attorney, Peter Bornstein, said his client thought the hearing was today.
WINTER PARK
Resort buys Vintage Hotel for housing
Winter Park Resort, operated by Vancouver-based Intrawest Corp., announced Monday that it purchased the Vintage Hotel for employee housing. The price was $4.3 million.
The 118-room Vintage Hotel will continue to operate as a hotel through the coming ski season, but will eventually be converted into housing units for roughly 250 Winter Park/Mary Jane employees.
DENVER
ACT hosted largest conference call ever
ACT Teleconferencing Inc. said it received certification from Guinness World Records for hosting the largest conference call in history.
The provider of audio, video and Web-based conference products and services hosted an international conference call in March 2004 for Herbalife International’s 10,424 distributors and companies.
DENVER
Frontier trying to move Cancun visitors
Frontier Airlines officials worked Monday to find a way to rescue as many as 1,200 passengers stranded in Mexico when Hurricane Wilma battered the Cancun beach resort.
With the Cancun airport closed, Frontier spokesman Joe Hodas said, the airline is looking at alternatives, possibly using ground transportation to move passengers to a nearby airport that may be open.
BROOMFIELD
Level 3 makes bid on Networx program
Level 3 Communications announced Monday that it has bid on the General Services Administration’s Networx Enterprise program. Level 3’s proposal responds to all nine mandatory services outlined in GSA’s Networx Enterprise procurement.
The Networx program encompasses a broad range of data, voice and security services available to all government agencies and other authorized buyers.
DENVER
Whiting Petroleum has record quarter
Denver-based Whiting Petroleum Corp. on Monday reported record quarterly net income of $33.3 million, or $1.12 per share, on total revenues of $139.8 million for the three months ended Sept. 30. That compared with third-quarter 2004 net income of $14.3 million, or 70 cents per share, on total revenues of $67.3 million.
CHICAGO
United plans more flights to Mexico
United Airlines said Monday that it has applied to fly five new routes from Chicago and Los Angeles to cities in Mexico under a new bilateral agreement between the two countries.
The service will begin this winter if it gets government approval, United said.
More flights to Mexico also are planned from its hub in Denver – Saturday service to Cozumel starting next month and daily service to Mexico City in December.
BETHESDA, Md.
FTC seeks more info on Lockheed venture
Lockheed Martin Corp. and the Boeing Co. said Monday the Federal Trade Commission has asked for more information in its antitrust review of a proposed joint satellite-launch company.
The two defense contractors said in a joint statement that they believed the FTC needs additional time to review the United Launch Alliance, which will be based in Jefferson County. It marks the second time federal regulators have postponed a decision on the venture.
HOUSTON
James Baker to head BP safety investigation
Former Secretary of State James A. Baker III will head a panel investigating safety and management oversight at BP Products North America Inc. following a Texas refinery explosion and fire that killed 15 people and injured 170, the company announced Monday.
The Texas City blast in March was one of a series of fires and other safety problems at BP Group Plc.
SPRINGFIELD, Mo.
Wal-Mart pumps up health-care benefits
Wal-Mart Stores Inc. announced more affordable health care for some of its workers Monday in the latest shot in a battle with critics for the hearts of consumers.
The move by the world’s largest retailer comes as the crucial holiday sales season approaches. Analysts say Wal-Mart needs to add about $250 million a day in sales during the holiday season to meet earnings targets and cannot lose ground to an increasingly united front of opponents who want consumers to shun the discounter.
ATLANTA
UPS to end some cigarette deliveries
United Parcel Service Inc. said it will stop delivering cigarettes to individuals after state attorneys general said the practice aids underage smoking.
WASHINGTON
$19 billion auctioned in 3-month T-bills
The Treasury Department auctioned $19 billion in three-month bills at a discount rate of 3.850 percent and an additional $17 billion in six-month bills at a rate of 4.065 percent.
The discount rates reflect that the bills sell for less than face value.
For a $10,000 bill, the price for a three-month bill was $9,902.68, while a six-month bill sold for $9,794.49.
