Prosecutors: AT&T, Goldman Sachs Among Illegal Trades In Galleon Case

Apr 13 2010 | 10:18am ET

Galleon Group founder Raj Rajaratnam and other accused members of his insider-trading circle made illicit deals involving 22 companies, nearly twice as many as previously alleged, according to prosecutors.

Rajaratnam and the other 20 people charged in the sprawling case traded in shares of AT&T Inc., Cisco Systems, Clear Channel, Goldman Sachs Group, NetLogic Microsystems and PeopleSupport, Assistant U.S. Attorney Jonathan Streeter told Rajaratnam’s legal team in a March 22 letter. Previously, the circle was accused of illicit trading in just 12 stocks, most notably Advanced Micro Devices, Google, IBM and Intel.

“Our investigation is ongoing and the information that we are currently providing is based on what is known today,” Streeter wrote in the letter, which was included in a court filing last week by the defense. He added that “almost all” of the companies listed “are clearly disclosed in the wiretap applications, intercepted calls and consensually recorded calls.”

Rajaratnam and his co-defendant, former New Castle Partners executive Danielle Chiesi, are seeking to have those wiretaps excluded from the trial, which is set to begin on Oct. 25.

Eleven of the 21 people charged in the Galleon case have pleaded guilty, and eight are cooperating with prosecutors.

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


U.S. Trust's Beard: The Rapid Growth of the Art Lending Industry

Oct 7 2016 | 10:55pm ET

Alternative investment managers have emerged as some of the most significant art...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...