With a criminal conviction against former Qwest Communications CEO Joe Nacchio in the bag and awaiting appeal, the U.S. Securities and Exchange Commission is pursuing a civil case against Nacchio. But, there's a chance we may not hear much about it. That's because one of the key arguments of Nacchio's defense is that he had based revenue expectation in knowledge he had of secret government contracts that would be awarded to Qwest, but never came to fruition.
Nacchio's lawyer is seeking to depose people in government whose identities and testimony could be hidden. Much is at stake, as the SEC is seeking the $176.5 million it says Nacchio gained from the sale of Qwest stock during a time when he realized Qwest wouldn't meet revenue expectations.
The Denver Post has been following the case