Former Qwest Communications International CEO Joseph Nacchio has been ordered to prison next Tuesday after a federal court in Colorado denied his request to remain out on bail.
Nacchio was convicted in 2007 on 19 counts of securities fraud for insider trades he made in 2001. As head of one of the biggest regional telecommunications carriers in the U.S., he forecast strong growth for the company while privately selling off his stock based on knowledge that the company was ailing. He was sentenced to 72 months in prison.
The U.S. District Court for the District of Colorado ordered the former CEO to prison, but Nacchio has filed a series of appeals and emergency motions. After appealing his conviction to the U.S. Supreme Court on March 20, Nacchio sought bail so he could remain out of prison while the appeal is considered.
On Tuesday, Judge Marcia Krieger denied bail, saying Nacchio hasn't shown that he has raised any substantial question of law or fact in his appeal and that he is unlikely to win it. She ordered him to report to Federal Correctional Institution Schuylkill in Minersville, Pennsylvania, by noon on April 14. The prison is about 175 miles north of Washington, D.C. Nacchio was assigned to the prison's Satellite Camp, a minimum security facility for male offenders. Nacchio was ordered to travel there at his own expense.