Outsiders probably think in-depth research and a top notch ability to get information first was the “edge” that Galleon “pressured” traders and analysts to go after in their pursuit of big returns but based on the outbursts of one of the firm’s top employees? Kinda sounds like the fund was also keenly aware of the importance of rubbing rabbit feet and finding four-leaf clovers before executing trades, as well as the perils of allowing black cats to run amuck on the floor.
According to the Journal senior trader Leon Shaulov (previously employed with Sagamore Hill Capital and Goldman Sachs), and not Rajaratnam, was the guy you didn’t want to cross if you came into the office without the good stuff. Shaulov would verbally abuse those who couldn’t get enough material non-public information to make a buck, which seems standard. Who doesn’t do that? What really got Leo’s goat, however, apparently had nothing to do with people slacking on fact-finding missions. What set Shaulov off was jerk-offs who brought (actual) curses on the House of Galleon.

A senior trader, Leon Shaulov, who wasn’t named in any federal charges, sometimes berated traders or analysts who couldn’t uncover enough information that could move stocks, say several current and former employees. They add that Mr. Shaulov also would sometimes shout with joy when stocks moved the right way. Nearby, Mr. Rajaratnam would listen to the commotion through the glass door to his office. Through Galleon, Mr. Shaulov declined to comment.
People familiar with the matter say one of Mr. Shaulov’s regular targets was Gary Rosenbach, who helped start Galleon with Mr. Rajaratnam. One trader says Mr. Shaulov, in front of the rest of the staff, once turned on Mr. Rosenbach, screaming, “You’re a disease, you’re a jinx.”

Which is interesting because if you want to talk jinxes or sources of bad luck? How about we talk about the fact that Mr. Shaulov probably brought the mother of all jinxes on Galleon when he got named to this list.

Comments (48)

  1. Posted by guest | October 19, 2009 at 11:29 AM

    Bess,
    Take a hint from Leon on how to handle Greg

  2. Posted by Bess Levin | October 19, 2009 at 11:32 AM

    Take a hint from me and get focused on what’s being discussed in the post and not Greg.

  3. Posted by guest | October 19, 2009 at 11:34 AM

    I have no problem with this.
    -sc

  4. Posted by pfluger | October 19, 2009 at 11:34 AM

    There is verbal abuse on Wall Street?
    The horror!

  5. Posted by guest | October 19, 2009 at 11:36 AM

    So true on the Trader Monthly 30 under 30 list. Most of those guys blew up after they made the list. Can anyone name one trader from the list who is actually making money now(besides Tim S)?

  6. Posted by guest | October 19, 2009 at 11:37 AM

    (.)(.)

  7. Posted by guest | October 19, 2009 at 11:38 AM

    I blame GS.
    ZH

  8. Posted by guest | October 19, 2009 at 11:38 AM

    what a little bitch

  9. Posted by guest | October 19, 2009 at 11:39 AM

    Verbal abuse, and premarin, this is what drives markets.

  10. Posted by BottomFellOut | October 19, 2009 at 11:39 AM

    Did Stevie have the same good luck charms?
    How did he sleep on the weekend?

  11. Posted by guest | October 19, 2009 at 11:40 AM

    I would not invest with any hedge fund manager who isn’t jewish

  12. Posted by guest | October 19, 2009 at 11:42 AM

    The list contains:
    Refco, UBS, Galleon Group ,Morgan Stanley,Merrill Lynch
    Oh, the shame. A parade of abject FAIL.

  13. Posted by guest | October 19, 2009 at 11:42 AM

    @10 stevie’s good luck charms *were* my tits. I leave, and everything goes to shit. not a coincidence.
    -andrea tong

  14. Posted by guest | October 19, 2009 at 11:43 AM

    @12 what list?

  15. Posted by guest | October 19, 2009 at 11:44 AM

    @11
    Oh really? Good thing I don’t need your money.
    -John Paulson

  16. Posted by guest | October 19, 2009 at 11:44 AM

    I was truly disappointed that there aren’t more stories with the tag “assholes”

  17. Posted by CoveredLong | October 19, 2009 at 11:44 AM

    @6 – Ms. Dupre…how lovely to see you today. Those never seem to get old.
    As for Leon, he Shaulov stopped yelling at his coworkers. (it almost works)

  18. Posted by guest | October 19, 2009 at 11:45 AM

    @14 the list Bess so kindly pointed to at the end of the story, above.
    -12

  19. Posted by guest | October 19, 2009 at 11:46 AM

    Mr. Rosenbach ended up leaving the firm for reasons he says were related to a family health issue. “Leon [Shaulov] is a gifted trader,” he said. “I don’t have a problem with a yeller and screamer. Type-A personality.”

  20. Posted by guest | October 19, 2009 at 11:46 AM

    Djarma and Greg.

  21. Posted by guest | October 19, 2009 at 11:53 AM

    It seemed like the Sri Lanken that talked out his neck was the culprit, until we learned it was the Jew all along.

  22. Posted by guest | October 19, 2009 at 11:54 AM

    Leon was reportedly fired from GS for unethical behavoir. Wouldn’t be surprised to see him indicted.

  23. Posted by guest | October 19, 2009 at 11:56 AM

    @22 care to elaborate?

  24. Posted by guest | October 19, 2009 at 11:57 AM

    @19 “Type A” = asshole.

  25. Posted by guest | October 19, 2009 at 12:09 PM

    WSJ story is crap. Evey fund has one or more traders that yell and are aholes. Every analyst steps into the PMs office, behind glass doors, to go over ideas. These journalists are just plain dumb

  26. Posted by guest | October 19, 2009 at 12:12 PM

    @25 that’s why db said yelling is standard, but telling someone they’re a jinx is a little weird.

  27. Posted by guest | October 19, 2009 at 12:14 PM

    Choo Beng Lee worked for SAC and is a CW. This could get really interesting.

  28. Posted by guest | October 19, 2009 at 12:21 PM

    @27 when did he leave SAC?

  29. Posted by guest | October 19, 2009 at 12:22 PM

    @25 So what’s your point? They are just reporting some anecdotal shit they heard from their sources. How does that make them “dumb”?

  30. Posted by guest | October 19, 2009 at 12:33 PM

    @27 he worked for an affiliate of SAC, not SAC Capital.

  31. Posted by guest | October 19, 2009 at 12:36 PM

    @30 regardless, cohen is shitting his pants right now.

  32. Posted by guest | October 19, 2009 at 12:39 PM

    @25 – the anecdotal shit belongs here in DB – not in the WSJ

  33. Posted by guest | October 19, 2009 at 12:40 PM

    Buzz, your girlfriend, woof!

  34. Posted by Bess Levin | October 19, 2009 at 12:41 PM

    @33 thank you

  35. Posted by guest | October 19, 2009 at 1:14 PM

    being a disease is the new killing it

  36. Posted by guest | October 19, 2009 at 1:28 PM

    @35
    I can’t believe I’m going to make this reference (buries head in hands), but…
    “That’s what I tried to tell my brother!”
    Kevin McCallister

  37. Posted by Bess Levin | October 19, 2009 at 1:33 PM

    @36 Leave it on the doorstep and get the hell outta here.

  38. Posted by guest | October 19, 2009 at 1:37 PM

    Keep the change ya filty animal!

  39. Posted by Seaman Bodine II | October 19, 2009 at 1:39 PM

    I used to sit on an equities desk with this one guy who would randomly start clapping, like a retard at the zoo, whenever some dogshit stock would move a point.
    Then again, I often blasted Ric Flair speeches from You Tube.

  40. Posted by guest | October 19, 2009 at 1:44 PM

    What was the movie where Pesci’s character shouts “get him outta here…he’s a freakin’ jinx for Christ’s sake!” I think it was Goodfellas…

  41. Posted by guest | October 19, 2009 at 1:52 PM

    @40 Casino?

  42. Posted by guest | October 19, 2009 at 1:58 PM

    @41 same movie

  43. Posted by Natureboy | October 19, 2009 at 2:12 PM

    @40-1. Bronx Tale. And it wasn’t Pesci

  44. Posted by guest | October 19, 2009 at 3:27 PM

    I too rub “rabbit feet” before trading…if ya know what I mean ;)
    -sc

  45. Posted by JT in Ct | October 19, 2009 at 6:39 PM

    The quote about young trader Leon talking down to Gary Rosenbach doesn’t make sense. It sounds like George Sard, Galleon’s new outside press, leaked the traders quote to the WSJ to set up and spin any thought that Gary had flipped on Raj.
    Gary was 20 years Leon’s senior and a co-found and equity partner of the firm. Anyone else think that doesn’t sound right that Raj would let Leon talk to him that way?
    Gary – suddenly leaving the firm to tend to a sick wife is line of bull also. Susan his wife is looking pretty strong at polo parties this fall.

  46. Posted by guest | October 19, 2009 at 6:47 PM

    @45 your comment is what makes no sense.

  47. Posted by guest | October 24, 2009 at 1:12 AM

    Leon is and will always be a true CERTIFIABLE A**hole~ good luck to him all the best in getting a job in this industry. I’ve seen his D*ck he has herpes! THat JERK deserves whatever comes his way

  48. Posted by M | December 23, 2009 at 3:38 PM

    At GS – Leon was a certifiable pig. He would grab his crotch throughout the day and spew obscenities beyond belief. Whoever raised this slime would be utterly appalled. He defines the word “GROSS”. His great ability to make money was only accomplished by stealing pennies on trades (whether it was front-running/trading ahead/or just add more commission on to the trades). His only hope at redemption/absolution is through GOD because on earth – he was a horrible sub-human!

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