- Galleon exec draws judge Rakoff
- Galleon moves assets into cash
- Due diligence made Galleon investors wary
- Search for an Investing Edge Went Too Far, Say Prosecutors
- A Star Partner’s Galleon Arrest Shakes Up Ranks at McKinsey
Galleon exec draws judge Rakoff – NY Post
The high-profile insider-trading case against hedge-fund king Raj Rajaratnam of Galleon Group is getting a high-profile judge who’s earned the nickname on Wall Street of Judge Dread.
US District Court Judge Jed Rakoff is expected to oversee the Securities and Exchange Commission’s case against the billionaire hedgie, who was charged Friday with running a $20 million insider-trading scheme.
On Wall Street, Rakoff has gained notoriety for nixing a $33 million settlement between the SEC and Bank of America over charges the bank hid billions in losses and bonus payments from shareholders in order to push through BofA’s merger with Merrill Lynch…..
Galleon moves assets into cash – Financial Times
Brokers to the Galleon Group – the hedge fund whose founder and president, Raj Rajaratnam, is at the centre of insider trading charges – report it is rapidly liquidating its investments in anticipation of a wave of investor redemptions.
“They’re selling down their positions and moving to cash – they’ve started liquidating with us this morning,” a senior executive at one of Wall Street’s largest investment banks told the Financial Times on Tuesday…..
Due diligence made Galleon investors wary – Financial Times
Some of the largest investors in hedge funds have harboured concerns about Galleon Group for the past few years, according to the content of due diligence reports disclosed to the Financial Times….
“You can take advantage of trading technology, but few do. You can be more intelligent than others, but few are.
“Or you can have some specialised source of sustainable information. Unless that information is from fundamental analysis – and in Galleon’s case, it did not all seem to be – then that’s a red flag for us.”…..
Search for an Investing Edge Went Too Far, Say Prosecutors – Wall Street Journal
On Wall Street, where information can equal profits, Danielle Chiesi touted her ability to extract market-moving morsels out of corporate executives. Her arrest last week in the insider-trading scandal at hedge fund Galleon Group suggests she may have gone too far….
A Star Partner’s Galleon Arrest Shakes Up Ranks at McKinsey – Wall Street Journal
Anil Kumar became a star partner at consulting firm McKinsey & Co. by building relationships in the technology industry and the Indian business world. Now, he is facing allegations that he used his connections to help facilitate an insider-trading conspiracy by hedge fund Galleon Group….
Mr. Kumar’s alleged misdeeds have ensnared the management consultancy in one of its biggest scandals ever, one that hits at its core mission as a trusted adviser to businesses…..
Tags: Galleon, Insider Trading, Legal, McKinsey, Raj Rajaratnam
