Thursday, 2 October 2014
Last updated 22 min ago
Sep 27 2011 | 1:09pm ET
The judge who will sentence Galleon Group founder Raj Rajaratnam next month wants to know exactly how much the convicted insider-trader made on his scheme before he decides his fate.
U.S. District Judge Richard Holwell set a hearing to determine the "loss amount" in the case for Oct. 4. Prosecutors say that Rajaratnam made more than $63 million, a figure that Rajaratnam's defense team calls the result of "errors" and one that "massively overstates the seriousness of the offense."
Prosecutors have asked Holwell to sentence Rajaratnam to a term called for by non-binding federal guidelines, between 19½ year and 24½ years. Rajaratnam's lawyers have asked for a term substantially below the guidelines.
Holwell also appears to be looking at an earlier insider-trading sentencing for direction in the Rajaratnam case. The judge sought—and received from his colleague on the bench, U.S. District Judge Jed Rakoff—permission to review the pre-sentence report for Winifred Jiau, the former expert-network consultant convicted of insider-trading in June in a case separate from the Galleon case.
It is unclear what Holwell hopes to learn from the report. Jiau's proceeds from the sale of confidential information to hedge fund managers and others was about $200,000, according to prosecutors, a fraction of the amount Rajaratnam is said to have made. But it could also be good news for Rajaratnam: Jiau was sentenced to four years in prison, half of the eight-to-10 years that prosecutors sought.
Rajaratnam's lawyers also asked that their client not be sent to prison immediately after sentencing, instead seeking to allow him to remain free on $100 million bail and under house arrest while he appeals his conviction.
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...