US billionaire indicted for fraud

[ensho]

http://english.aljazeera.net/business/2009/12/200912163429754154.html


Raj Rajaratnam, the Sri Lankan-born billionaire and founder of the Galleon hedge fund, has been indicted in a US court on charges of securities fraud and conspiracy.

Rajaratnam and Danielle Chiesi, a former consultant to hedge fund New Castle LLC and a co-defendant in the case, were formally charged in an Manhattan federal court on Tuesday.

The case, which prosecutes have described as the biggest-ever hedge fund insider trading case, involved employees of some of America's best-known companies.

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Rajaratnam, a US citizen, was freed on $100m bail, an amount he hopes to have reduced.

Traders investigated

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Most of the accused have expertise in tech stocks.

The allegations included passing inside information on earnings announcements, takeovers and contracts on 10 companies, generating more than $30m in illegal profits, according to prosecutors.

Six traders or lawyers have pleaded guilty to charges in the investigation, which ensnared employees of IBM Corp, McKinsey & Co management and former lawyers of the Ropes & Gray law firm.

In the overall case, insider trading allegedly took place in shares of Google, Sun MicroSystems, Advanced Micro Devices, Polycom, Hilton Hotels, Intel, Clearwire, Akamai, Atheros and IBM among others.
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good

get the whole bunch and put them in prison

[napi21]

1. Good, now get as much of the $$ back as you can, and sell

everything he owns!

[StarfarerBill]

2. Great, but...just the one?

How does one accumulate billions (or even millions) of dollars without fraud?