The three-judge panel that allowed Joe Nacchio to remain free on bail pending appeal will also oversee the former Qwest CEO’s effort to overturn his insider trading conviction.
The 10th Circuit Court of Appeals disclosed today that judges Paul Kelly, Michael McConnell and Jerome Holmes will review and rule on the appeal. Oral arguments are set for Dec. 18.
In a surprise ruling in August, the panel granted Nacchio’s motion in August to remain free on $2 million bail pending the appeal. The panel overturned an order by U.S. District Judge Edward Nottingham that Nacchio begin serving his six-year prison sentence during the appeal.
The decision by the appellate judges indicated Nacchio’s attorneys have identified at least one issue that raises a substantial question of law or fact likely to result in a reversal of the verdict, a new trial or reduced sentence.
Nacchio was convicted in April on 19 counts of insider trading connected to his sale of $52 million in Qwest stock. In addition to the prison sentence, he was ordered to forfeit the $52 million and pay $19 million in fines.
Nacchio’s attorneys are arguing that there was insufficient evidence to convict him. They are also challenging Nottingham’s jury questions, decision to prevent a defense witness to testify about materiality and rulings related to Nacchio’s classified information defense.
Nacchio has contended that he had a rosy outlook on Qwest because he had top-secret information that the company was in line to receive lucrative government contracts. Much of that defense went unheard during the month-long trial.
Andy Vuong: 303-954-1209 or avuong@denverpost.com
