U.S. District Judge Marcia Krieger let stand allegations focusing on whether Denver-based Qwest Communications International Inc. misled investors by not specifying how much of its revenue between 1999 and 2002 was one-time and how much was recurring.
A hearing is set April 14 for the SEC to clarify remaining claims, including insider trading allegations against Nacchio and former Chief Financial Officer Robert Woodruff that hinge on those claims, Krieger wrote.
Some claims tossed Wednesday concerned whether defendants improperly helped Qwest backdate sales or record revenue from leases of its fiber-optic network upfront rather than over the life of the contracts. The SEC alleged that both practices could have given investors a misleading picture of Qwest's revenues.
Krieger dismissed some of those claims, saying the SEC hadn't shown that certain defendants were to blame for any alleged deceit.
The SEC lawsuit was filed against Nacchio, Woodruff, former President Afshin Mohebbi, and former accountants Frank Noyes and James Kozlowski.