Feds Wiretap Wall Street Rouge

Feds Wiretap Wall Street Rouge (since 2007)

 

The Galleon rules
The message for Wall Street coming out of the Galleon Management insider-trading prosecution is this: It's no longer enough to watch what you write, but now you've got to watch what you say.

 

One of the more notable things about the insider trading case against Raj Rajaratnam, the co-founder of Galleon, is the heavy reliance by federal prosecutors on evidence gathered through taps placed on his cellphone.

- full article

 

 

Galleon's Traders Seek Legal Advice
Galleon Group's analysts, portfolio managers and traders in New York are seeking legal advice and updating their resumes after the arrest of Raj Rajaratnam, the hedge-fund firm's founder, led to a flood of redemption requests.

At least 10 more people in the securities industry may be charged as early as this week in a federal investigation of insider trading that has been two years in the making, according to people familiar with the matter. Some of those may be connected to the case against Rajaratnam, the people said.

The pending crackdown may yield charges against hedge-fund managers and their associates, the people said, declining to be identified because the cases aren't public.
- full article