Galleon Group

Rajaratnam Pleads Not Guilty Rajaratnam and Chiesi Plead Not Guilty to Insider Trading Raj Rajaratnam and Danielle Chiesi, two hedge managers of Galleon fund and New Castle Partners, respectively, have pleaded not guilty to charges of insider trading.  Last week, the two managers were indicted on several counts of securities fraud and conspiracy.  This case has been a dark spot on an otherwise bright year for the hedge fund industry, fueling regulators' and investors' drive for greater transparency and accountability. Two months ago, Mr. Rajaratnam and Ms. Chiesi, both in handcuffs, were led into a Manhattan court by agents from the Federal Bureau of ... Read Full Story

Rajaratnam pleads innocent in Galleon caseRajaratnam and Chiesi, 44, are the only defendants to be formally indicted so far. Both have been out on bail since their October 16 arrest. Deals by Rajaratnam... read full » Read Full Story

Galleon Fund Defense Galleon Fund Disputes Government's Accusations Raj Rajaratnam of Galleon Fund is disputing the government's accusations that he participated in insider trading.  Mr. Rajaratnam's attorneys also argued that the government misled a judge when obtaining wiretaps. Billionaire hedge fund operator Raj Rajaratnam's (RAHJ rah-juh-RUHT'-nuhm) lawyers made the arguments in papers filed Tuesday in federal court in Manhattan. The Sri Lanka-born Rajaratnam is among 20 people charged in a $52 million insider trading case. The portfolio manager for the Galleon Group hedge fund remains free on $100 million bail. Rajaratnam's lawyers say he based trades on information that was already public. They also ... Read Full Story

Hector Ruiz, the former chief executive officer of technology company Advanced Micro Devices (AMD), has been implicated in the Galleon insider trading scandal, according to media reports. Earlier this month, Raj Rajaratnam, the billionaire founder of the Galleon hedge fund, was arrested over allegations he had masterminded the biggest insider trading scam in history. Five others were arrested with him and in the complaint filed against one of them, Danielle Chiesi, prosecutors alleged an unnamed AMD executive was guilty of passing on secret information in order to trade stocks. According to prosecutors, the unnamed executive told Ms Chiesi in August 2008 that AMD’s manufacturing ... Read Full Story

In a case echoing the scandals of the 1980s, federal authorities exposed what they claim is the biggest insider-trading ring in a generation — a conspiracy in which a hedge-fund kingpin and executives at blue-chip firms including IBM and Intel allegedly connived to profit on Google and other big-name stocks. At the center was Raj Rajaratnam, founder of Galleon Group, a New York-based fund firm that manages $3.7 billion. A native of Sri Lanka, he spent years carving a reputation as a meticulous investor in technology stocks, building a fortune estimated at $1.5 billion. Rajaratnam, 52, faces 13 fraud and conspiracy counts, many of ... Read Full Story