{"id":22425,"date":"2011-05-12T08:58:06","date_gmt":"2011-05-12T12:58:06","guid":{"rendered":"http:\/\/www.hedgeco.net\/news\/?p=22425"},"modified":"2011-05-12T09:14:00","modified_gmt":"2011-05-12T13:14:00","slug":"hedge-fund-conviction-rajaratnam-news-roundup","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/05\/2011\/hedge-fund-conviction-rajaratnam-news-roundup.html","title":{"rendered":"Hedge Fund Conviction: Rajaratnam News Roundup"},"content":{"rendered":"

\"\"<\/a>New York (HedgeCo.net) – The Sri Lankan-born American who founded the hedge fund Galleon Group, a New York-based management firm,\u00a0\u00a0was found guilty on all 14 counts of conspiracy and securities fraud yesterday.<\/p>\n

Bloomberg<\/a><\/strong> – The hedge fund co-founder will appeal yesterday\u2019s verdict to the U.S. Court of Appeals in Manhattan, according to his attorney, John Dowd. Potentially facing almost two decades in prison, will have an \u201cuphill struggle\u201d in seeking to overturn his conviction in the biggest insider-trading trial since the 1980s, a former prosecutor said.<\/p>\n

\u201cIt\u2019s an uphill struggle, there\u2019s no question about it,\u201d Stephen Miller, a former federal prosecutor, said. \u201cIt\u2019s always hard, once you have a judge making credibility findings of any sort for the appellate court to review it, especially in a case of this magnitude.\u201d<\/p>\n

Reuters<\/a><\/strong> –\u00a0Some hedge fund managers and investors attending a conference here audibly gasped when the news flashed on TV screens that Raj Rajaratnam had been convicted on all 14 counts of insider trading. (Others)\u00a0said they had long ago written him off as one of the $2 trillion industry’s “bad apples.”<\/p>\n

Boston Globe<\/a><\/strong> – Rajaratnam, 53, could be sentenced to as much as 25 years in prison. He could also be forced to disgorge tens of millions of dollars in illegal trading profits.<\/p>\n

The verdict is expected to embolden prosecutors in their campaign to ferret out criminal activity on Wall Street trading floors. By using wiretaps \u2014 a tactic normally reserved for Mafia and drug trafficking cases \u2014 to secretly record the phones of Rajaratnam and others, the government now has a new weapon against white-collar crime.<\/p>\n

Rajaratnam remained stoic and stared straight ahead as the courtroom deputy read out the verdict \u2014 guilty on all 14 counts.<\/p>\n

According to Forbes magazine, Rajaratnam is a Tamil self-made billionaire hedge fund manager. He was the 236th richest American in 2009, with an estimated net worth of $1.8 billion. He was the 262nd richest American in 2008, with an estimated net worth of $1.5 billion. As of 2009 he was the richest Sri Lankan-born individual in the world.<\/p>\n

Alex Akesson
\nEditor for HedgeCo.net<\/a>
\nalex@hedgeco.net<\/a>
\nHedgeCo.Net<\/a> is a premier hedge fund database<\/a> and community for qualified and accredited investors only. Membership in HedgeCo.net<\/a> is FREE and EASY. We also offer FREE LISTINGS for Hedge Funds<\/a>!<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

New York (HedgeCo.net) – The Sri Lankan-born American who founded the hedge fund Galleon Group, a New York-based management firm,\u00a0\u00a0was found guilty on all 14 counts of conspiracy and securities fraud yesterday. Bloomberg – The hedge fund co-founder will appeal […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16005,11,12,3],"tags":[],"class_list":["post-22425","post","type-post","status-publish","format-standard","hentry","category-developing-stories","category-hedge-fund-fraud","category-hedge-fund-regulation","category-hedgeco-news"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/22425","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=22425"}],"version-history":[{"count":4,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/22425\/revisions"}],"predecessor-version":[{"id":22428,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/22425\/revisions\/22428"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=22425"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=22425"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=22425"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}