A federal grand jury formally indicted Raj Rajaratnam and Danielle Chiesi yesterday, two central figures entangled in the largest ever insider trading case involving hedge funds.
Rajaratnam, founder of hedge fund firm Galleon Group, and Chiesi, a former Bear Stearns fund manager, were charged with a combined eight counts of conspiracy and 13 counts of securities fraud.
"Mr. Rajaratnam is innocent and looks forward to his day in court when a jury of his fellow citizens will examine and evaluate all of the evidence," said John M. Dowd, the lawyer representing Rajaratnam. (NYT)
This should be one for the ages. Prosecutors are ready with reams of juicy evidence and testimony: everything from wiretapped phone conversations to a network of informants turned cooperating witnesses.
Survey Exclusive (FINS)
FINS surveyed over 600 finance pros to take the pulse of the industry on everything from bonus pay to how happy they are working in finance. See this sneak preview. Check back at FINS throughout the day for more coverage.
A Prime Promotion (WSJ)
promoted Edward Keller, a 15-year firm veteran, to head its U.S. prime brokerage services.
Wait for Me (FINS)
Last but not least, Wells Fargo
is on its way to excuse itself from the TARP table. The bank plans to sell $10.4 billion in shares to pay back its $25 billion IOU note in government aid.
Courting Ex-Bosses (FT)
, one of the biggest subprime losers in the credit crisis, has decided not to press legal action against its former top executives. The board of directors determined there was "no evidence of criminal conduct."
Bond Voyage (Investment News)
A Wells Fargo bond manager jumped ship to Loomis Sayles. In his new position as a vice president and portfolio manager, William Stevens will head and build a team to run a new core bond strategy.
Pay Failure (WSJ)
execs are having trouble making ends meet. CEO Benmosche said that the firm's near-failure pretty much wiped out the execs, many of them forced to rebuild from scratch.
The Overtaxed Head Overseas (The Independent)
In response to the U.K.'s new bonus supertax, some financial services firms are helping staff relocate to regions with "more certain tax regimes" in an effort to hold onto valuable workers.
Holiday Gifts for Accountants (Accounting Nation)
Go beyond the nerdy TI-83 and get your accounting friend something special this year. Learning new accounting regulations may go more smoothly with a new Mont Blanc pen in hand.
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