The founder of the
Galleon Group, a big New York hedge fund, was charged on Friday with insider trading in the stocks of several companies, including
Advanced Micro Devices,
Clearwire and
Akamai, earning about $20 million in the process.
Federal prosecutors for the Southern District of New York accused Raj Rajaratnam, 51, with illegally obtaining and trading on information on these companies, which also included Polycom, Hilton Hotels, Google and People Support. He was charged with four counts of conspiracy and nine counts of securities fraud. (Read the complaints after the jump.)
Others charged by prosecutors include Mark Kurland, the president of New Castle Partners, another large hedge fund; Danielle Chiesi, a former Bear Stearns executive who now works at New Castle; Rajiv Goel, an executive Intel Capital, the venture capital arm of Intel; Anil Kumar, an executive at McKinsey & Company; and Robert Moffatt, an executive at I.B.M.
All six were arrested Friday morning......