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Massive fraud

   TechBrief: Qwest pays to settle fraud claim 
   The Associated Press, Bloomberg News, Reuters 
   Friday, October 22, 2004

"Qwest Communications International agreed Thursday to pay $250 
million to settle allegations that it engaged in "massive financial 
fraud" by improperly booking $3.8 billion in revenue and misleading 
investors about it. 
     In a scathing 56-page complaint, the U.S. Securities and Exchange 
Commission accused Qwest senior managers of approving and directing a 
scheme to book one-time revenue from the sale or trade of fiber-optic 
capacity as recurring revenue from operations. 
     Qwest became so dependent on the tactic that employees began 
comparing the Denver-based telecommunications company to a drug addict 
and the transactions as the company's "heroin," the complaint said.