Hedge fund billionaire Rajaratnam indicted for inside trading

A US federal grand jury has indicted billionaire Raj Rajaratnam, founder of Galleon hedge fund, in a multi-million-dollar Wall Street insider-trading probe.
     
Sri lankan-born Rajaratnam along with his co-conspirator Danielle Chiesi was indicted yesterday on charges of using non-public information from company executives to earn around $21 million in illegal profits, according to the 37-page indictment.
     
The alleged insider-trading ring operated "from at least in or about 2003 up to and including in or about March, 2009," the 17 count conspiracy and fraud indictment said.
    
Rajaratnam, now on bail, has said he is innocent.
    
The indictment said Rajaratnam, Chiesi and others repeatedly traded on material, non-public information pertaining to upcoming earnings forecasts, mergers, acquisitions, or other business combinations.
   
Rajaratnam, who also allegedly provided financial support to a charity linked to the Tamil Tigers terror group, closed down Galleon after he and five others were arrested in October in what prosecutors said was "the largest hedge fund insider trading case in history."