Rajaratnam Paid For Tips, Faces New Charges, Prosecutors Say

Galleon Group founder Raj Rajaratnam paid tipsters for insider information, prosecutors said yesterday, adding that the billionaire hedge fund honcho faces new insider-trading charges.

Prosecutors leveled the new allegations in an effort to keep a judge from reducing Rajaratnam’s record $100 million bail to $20 million. They said that Rajaratnam made more money, and traded illegally for a longer period of time, than indicated in the original indictment.