The U.S. Chamber of Commerce, the National Association of Criminal Defense Lawyers and the Washington Legal Foundation are among the groups that have voiced support for former Qwest Communications CEO Joe Nacchio's petition for a Supreme Court review of his insider trading case.
The Chamber of Commerce is concerned that Nacchio's conviction constitutes a legal precedent for the idea that all financial warnings discussed privately between executives of public companies are of material importance and need to be publicly disclosed, the group said in a court filing. That "may have the perverse effect of discouraging, rather than promoting, the full and prompt flow of accurate information to the marketplace," because it may cause company employees to withhold information if it will keep them from selling stock.
A decision on a possible Supreme Court review likely will not come until late May.
- The Denver Post has this report
Nacchio reported to prison earlier this month
Nacchio's legal team appealed to the Supreme Court last month