The U.S. Securities and Exchange Commission sued Joseph Mancuso, a former trader at Schottenfeld Group LLC, accusing him of making about $350,000 on a series of illegal tips from Zvi Goffer, a former Galleon Group LLC trader.
The jury in the insider-trading case of Whitman Capital LLC founder Doug Whitman was told by a key witness, Roomy Khan, that Whitman “aggressively” pressed her to pursue leaks from her sources, whom he referred to as Khan’s “moles.”
Roomy Khan, who began meeting with the FBI almost five years ago as agents probed Galleon Group LLC co-founder Raj Rajaratnam, broke down in tears as she testified about the many lies she told investigators.
One late afternoon in March 2007, Sanjay Wadhwa sat at his desk transfixed by the data on his computer screen. Wadhwa was then a low-level supervisor in the Wall Street office of the U.S. Securities and Exchange Commission investigating a supposedly routine case of “cherry- picking.” The SEC had gotten a complaint that Rengan Rajaratnam, the founder of Sedna Capital Management LLC, a small hedge fund, was doling out a disproportionate share of his best trades to the beneficiaries of a “friends and family” account. It was Wadhwa’s job to figure out what was going on, Bloomberg Businessweek reports in its April 23 issue.
Roomy Khan, a key government informant who twice pleaded guilty to passing inside information to Galleon Group fund manager Raj Rajaratnam, took the stand as a witness in the trial of Whitman Capital LLC’s Doug Whitman.
Whitman Capital LLC’s Doug Whitman, testifying in his own defense at his insider trading trial, told jurors he didn’t trade in Polycom Inc. stock based on information from Roomy Khan, one of the government’s key witnesses.
Roomy Khan , the former Intel Corp. executive and stock trader who pleaded guilty to insider trading charges, won’t be called as a government witness in the trial of Galleon Group LLC co-founder Raj Rajaratnam , Assistant U.S. Attorney Reed Brodsky said.
Galleon Group LLC co-founder Raj Rajaratnam can’t obtain records from the U.S. Securities and Exchange Commission about Roomy Khan , a government witness in the insider-trading case against him, a judge said.
Whitman Capital LLC founder Doug Whitman is going on trial for using illicit tips from technology company insiders including one who was a neighbor, a woman at the center of the biggest stock-tipping probe in U.S. history.