US hedge fund founder ordered to pay record penalty for insider trading

[JURIST] The US District Court for the Southern District of New York [official website] Tuesday ordered Galleon Group hedge fund founder Raj Rajaratnam [WSJ archive] to pay an unprecedented civil penalty for insider trading. In a thorough analysis of the appropriate amount of the fine, Judge Jed Rakoff handed down a $92.8 million penalty [opinion, PDF] in the culmination of a civil lawsuit against Rajaratnam brought by the Securities and Exchange Commission (SEC) [official website]. The penalty is the largest…

By |2011-11-28T20:07:25+00:00November 28th, 2011|Uncategorized|Comments Off on US hedge fund founder ordered to pay record penalty for insider trading