Four Indians among 20 charged in largest hedge fund scam

Betwa Sharma
New York, Nov 6 (PTI) The FBI has charged a further 14
people, including two Indians and Wall Street professionals,
in a widening USD 53 million insider trading scam, the largest
ever such case in the United States.

The latest action brings the number of people who have
been charged in the case to 20, including four Indians.
The scam came to light last month with the arrest of
Sri Lankan Tamil-origin billionaire Raj Rajaratnam, founder of
the Galleon Group founder and hedge fund operator, and five
others, two of whom were Indians.
Deep Shah, a former analyst at the Moody's Investor
Service, and Gautham Shankar, a former proprietary trader at
Schottenfeld Group in New York, were charged on Thursday.
Shankar has pleaded guilty, while Shah is still at large.
Anil Kumar and Rajiv Goel (both 51) are the two other
Indians who were were arrested last month for allegedly
committing the fraud.
US Attorney Preet Bharara and New York's assistant FBI
director Joseph Demarest today said the accused took part in
insider trading schemes that "generated more than 20 million
dollars in illegal profits."
The people charged included hedge fund managers and
trading firm executives, lawyers and corporate insiders, the
prosecutor and FBI officer said in a statement.
Of the 14, eight were arrested Thursday, while a
ninth man was being sought, and later released on bail. Five
others had already been charged and have pleaded guilty in a
court in New York. (MORE) PTI BS
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