The Department of Justice has asked a federal judge to release the $19 million in fines paid by former Qwest chief executive Joe Nacchio as part of the penalty for his insider trading conviction.
Under court order, the funds have been held in an interest- bearing account within the court registry since the fine was imposed in 2007, pending the outcome of Nacchio’s appeals.
“All appeals in this case have been resolved,” James Hearty, an assistant U.S. attorney, wrote in a motion filed Friday in U.S. District Court in Denver.
The filing states that the money should be transferred to the national Crime Victims Fund, which is distributed to states to finance victims’ assistance programs.
Nacchio was convicted on 19 counts of insider trading in April 2007. In addition to the $19 million fine, Nacchio was ordered to forfeit nearly $45 million in ill-gotten gains and sentenced to 70 months in prison. He began serving the prison term in April 2009. Andy Vuong, The Denver Post
