Tuesday, 21 October 2014
Last updated 10 min ago
Oct 5 2010 | 2:03pm ET
For the first and quite possibly the last time, the man at the center of the Galleon Group insider-trading case took the stand.
Prior to the start of this week's crucial hearing on the admissibility of the 2,400 wiretaps at the heart of the government's case against him, Raj Rajaratnam swore to tell the truth before a quick bit of questioning by U.S. District Judge Richard Holwell. The facts of the largest insider-trading case in U.S. history, however, were not at issue.
Holwell's questioning, instead, centered on Rajaratnam's lawyers, the law firm Akin Gump Strauss Hauer & Feld. Rajaratnam had to waive his right to conflict-of-interest-free legal representation, because Akin Gump represents AM General, which makes Humvees, and AM General is owned by private equity holding company McAndrews & Forbes, which happens to employ Lauren Goldberg, a former federal prosecutor, as an in-house counsel. Goldberg worked on the wiretap warrant application challenged by Rajaratnam.
Rajaratnam answered most of Holwell's questions with a simple, "yes, your honor" or "no, your honor." Asked if he was pleased with Akin Gump's work on his behalf so far, Rajaratnam said, "Very much so, your honor."
The courtroom drama then moved on to the wiretap hearing, expected to take until tomorrow. Rajaratnam's lawyers questioned prosecutor Andrew Michaelson, who formerly worked for the Securities and Exchange Commission's enforcement division investigation Rajaratnam before moving to the U.S. Attorney's Office, which is handling the criminal case.
Rajaratnam's lawyers plan to call three other witnesses, including the Federal Bureau of Investigation agent who provided the affidavit for the wiretaps, Galleon's former in-house counsel, and Goldberg.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
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