Galleon To Close Hedge Funds, Seek Buyer

With its founder facing insider-trading charges, the Galleon Group will liquidate its hedge funds and may seek a buyer.

Raj Rajaratnam, who faces 11 charges of conspiracy and securities fraud in a $20 million insider-trading scandal, told investors that the New York-based hedge fund was exploring alternatives and hoped to keep its trading team together. According to reports, Galleon has been approached from interested parties, although no names have surfaced.