Former Insider Trading Con Wins $14M Suit Against Former Advisor Over VUL

Brian Anderson

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Anybody notice that Joe Nacchio, the former CEO of Qwest Communications who served nearly 5 years in prison for insider trading, just won a $14.2 million lawsuit for “breach of fiduciary duty” against his former financial advisor whose testimony helped convict him?

Nacchio and his wife sued an advisor at Ayco Co., a firm owned by Goldman Sachs, saying he did not understand or properly explain the $95 million in VUL coverage he sold Nacchio in 2000. The suit was brought in 2010 after his new advisor discovered Nacchio didn’t get the coverage he thought he was getting.

A jury agreed and took only 75 minutes to come back with the verdict. Ayco is appealing.

Sue the Witness Who Helped Put You in Jail, Win $14 Million - Bloomberg Business
 
Amazing... wonder what the commissions are on 95 million? :shocked:

Around $2m.

Article said the premium was $4.5m

The guy is 66 now, policy sold in 2000, so he was 46 then.

Target Premium for $96m is around $2m at that age. Add an extra $100k for the excess premium.
 
Last edited:
Around $2m.

Article said the premium was $4.5m

The guy is 66 now, policy sold in 2000, so he was 44 then.

Target Premium for $96m is around $2m at that age. Add an extra $100k for the excess premium.

Oh... I was sorta thing 10 to 30 points above 100 percent :laugh:

Pre-coffe post at 5 am... :jiggy:...
 
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