Wednesday, 1 October 2014
Last updated 14 hours ago
May 25 2011 | 1:56am ET
A third cooperating witness in the second Galleon Group insider-trading case testified yesterday that he dealt in confidential information with former Galleon trader Zvi Goffer.
David Plate, who pleaded guilty last year, said that Goffer gave him and other prepaid cellular phones for use in passing and discussing insider tips. Plate said the prepaid phones would make it harder for the government to trace any activity.
"We were told that whenever we had even slightly sensitive information we should use them," Plate testified.
Plate, who worked with the three defendants—Goffer, his brother Emanuel and Michael Kimelman—at Goffer's hedge fund, Incremental Capital, said he threw the phone away after Galleon founder Raj Rajaratnam was arrested.
"It was evidence," he explained. Rajaratnam's October 2009 arrest came just weeks before the current defendants and Plate were picked up. Rajaratnam was convicted of insider-trading earlier this month.
Prior to Plate's testimony, the jury heard from David Slaine, a former portfolio manager at hedge fund Chelsey Capital, for the second day. Slaine, a former Galleon employee who pleaded guilty to insider-trading in a separate case, wore a wire as part of his cooperation agreement.
Prosecutors used their time with Slaine on the stand to play some of the more than two dozen recordings at the heart of their case. The defense sought to discredit Slaine by noting that he could expect leniency in sentencing for his cooperation.
Prosecutor Andrew Fish told U.S. District Judge Richard Sullivan that he expects to rest his case by the end of the week.
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…
High frequency trading is not evil, it is not a conspiracy and it really is not new; it is the natural evolution of the professional trading community making markets, providing liquidity and hopefully...