The Galleon Group said Friday that it “continues to operate and is highly liquid” but one of firm’s top lieutenants is admitting he doesn’t think the shop will last long.
Traders close to Sanjay Santhanam, a Galleon partner and head of risk management, told Dealbreaker he’s admitted defeat. The firm is already seeing investors withdraw their money out of Galleon’s technology fund, according to the Wall Street Journal.
The technology hedge fund run by Galleon Group founder and insider-trading suspect Raj Rajaratnam allows investors to withdraw their money monthly, a much shorter time horizon than many hedge funds, including others at Galleon. Rochdale Investment Management, an investor in a diversified hedge fund that is Galleon’s largest, has already said it’s withdrawing all its money from that fund.
When asked about investor withdrawals on Monday, a Galleon spokesman declined to comment.
The chief executive of Rochdale told Dow Jones Newswires on Monday it will liquidate its entire position in Galleon Group’s largest hedge fund, Galleon Diversified Fund. The statement came three days after Mr. Rajaratnam’s arrest on charges of insider trading.
Sources tell Dealbreaker that Santhanam has told people close to him: “We could be closed by Friday. Too many of our clients are institutions that are prohibited from doing business with alleged felons.”
is literally every person who works there Indian? I feel so marginalized.
-white guy
Dis is true. I got da contacts
-cg
Who wants to see my flying squirrel?
Jimmy Cayne
Terri,
You are as effective a writer as Greg is a lover.
-Greg’s Mom
@4 really? b/c she just wrote that galleon’s head of risk thinks they’ll be done by friday. seems much more “effective” than anything gm’s ever done.
where the hell has cg been on this story?!
Notice how the majority of his accomplices are Asian/Sri Lankan/Indian also. This was their time to bask in the sun but it ended too soon.
I dare say similar things are happening in a lot of other outfits.
-not a white guy
@4 yeah, no but by all means, continue to make every single comment on every single post about greg you worthless douche.
-sanjay
@7 “I dare say similar things are happening in a lot of other outfits. ”
what? diversity in the workplace?
Charlie’s been squatting on the john at BofA waiting to break the KL replacement story. He can’t be everywhere at once you know.
nice get dealbreaker – good reporting. Where is this letter TBI said was sent out this am.
I know a guy that quit his job at a smaller hf 2 weeks ago to join galleon (doh!)…hope he can get the old job back.
@10 tell that to my schlong.
-cg
@13′s schlong – “Charlie’s been squatting on the john at BofA waiting to break the KL replacement story. He can’t be everywhere at once you know.”
@cluz- has he removed galleon from his linkedin profile yet?
@9 diversity? Keep telling yourself that.
I think it is ridiculous that people won’t do business with an alleged felon.
-Roman Pulanski
@15 – he’s not on linkedin…
Do I smell impending “Clawbacks” from the clients profits? Somebody has to disgorge profits made for illegal trades.
as grampa used to say, “donchu trust those injuns, boy.” he was right. STOP GIVING OUT VISAS
Teri is a real dung beetle.
@21 = raj
@20 = racist
This comment is addressed to post #20. You do realize the gentleman is from Sri Lanka right? So your racist stmt is just mis-placed. And you do realize visas are used to draw the best talent from around the world, right? Save your racist crap for fox news.
)Ou
Y
Who does Galleon use as a Prime Broker?
Julia Buhlia
@23 “you do realize visas are used to draw the best talent from around the world”
Really? Please keep telling yourself that. That might have been the case at some point but it is FAR from the case today. Just Sayin’
-not 20
@24 bear stearns
@12 – your guy must have had “an edge”
@23 – Yea, well if that’s the case why are there so many delinquent cardholders huh? Answer that Mr. Smartypants.
…and everyone knows you draw the best talent with a pen/pencil. After all, you’d get laughed out of Bergdorf’s if you tried to pay with a PaperMate….HAHAHA, you don’t know anything.
@24 – the complaint says something about Raj entering online trades into a Charles Schwab account
- Raj was probably close enough to call him Chuck
@ 23,
I assume you’re being sarcastic.
This comment is addressed to post #23.
You kicked my dog!
27 ftw
-jimmy c
mister samir naga naga nagonna work here anymore…
@24 your mom
@24 your mom
@24 your mom
@35-@37 epic fail to add to the exceptionally weak retort.
@35-37
Go back to posting your iPhone pics on http://www.latfh.com/.
-I will have the enchilada platter with two tacos and no guacamoles. Smy?
-Yeah, Chief. I’ll have a CHINCHILLA!
-I don’t get it. Tacos?
-They think I’m Mexican.
-You’re not Mexican?
Can one-a-you finance guys tell me what it means to be “highly liquid?”
I like da sound-a-dat phrase, and wanna use it alot when I tawk.
-cg
@cg
it has something to do with eating curries. You wouldn’t know anything about that being Italian, would you?
Raj Raj and Sanjay San
I got my PhD in liquid dynamics, yet I have not been able to obtain a postion with a hedge fund.
Raj Raj now San Raj or whatever.
He needs to lose some fat.
More Teri Buhl ‘sources’. These are the same ones who provided the year old news that Randy White leaves level and now this? Galleon can’t be shut ‘by friday’ given they have a 45 day notice on redemptions. Sure they are done as a firm, but $ can’t leave until Dec 31.
I’ll take a handbridge capital mug as payment. Thanks.
Had Raj Raj not have looked weird, folks might have some sympathy for him.
@42 I went to one-a-dem Indian restaurants one time, and dose guys eat dat Curry shit wit dare fuckin’ fingers!
Can you fuckin’ believe dat shit? I told ‘em to gimme a fuckin’ fork, and a fuckin’ spoon. Dey thought I was nuts, but dey did it.
Da Indians fear me.
-cg
Damn! That is one fat f*cking Sri Lankan! Oooh the things I could do to him!
DK
This comment is addressed to post #20. You do realize the gentleman is from Sri Lanka right? So your racist stmt is just mis-placed. And you do realize visas are used to draw the best talent from around the world, right? Save your racist crap for fox news.
)Ou
Y
Chill out dude. Re read his comment. You’re not much for subtlety are you. Besides his citizenship is country is sri lanka but he’s ethnic indian
http://www.reuters.com/article/ousivMolt/idUSN1937523520091019
Reuters has followed the Dealbreaker news and prints a ‘news analysis’ that seconds the fact the Galleon is loosing institutional clients as I type.
Firm is toast. Good traders will have to restart on their own.
Be still, Cody.
The new US diversity:
7 Indians from Punjab
8 diverse Indians from Goa
5 diverse Indians from Madras
10 diverse Indians from southern India – near the coast
11 diverse Indians from the west
21 diverse Indians from the east
13 diverse Indians from the north
1 Russian
2 Chinese guys
1 token black guy wearing a red shirt.
3 white guys
2 other?
Profit!!!
Not being Indian is the new killing it.
@53 funny. I was about to post that the comments today at DB could well lead to some targeted KKK banner ads from doubleclick tomorrow .. until i read your stuff
@24: morgan stanley
@55 wrong. bac/ml and barclays.
Looks like Teri Buhl was right on with this quote from the Galleon parnter Sanjay.
Raj now admits firm is going to unwind funds. Great Job Dealbreaker.
http://www.ft.com/cms/s/0/c2a6ca66-be44-11de-9195-00144feab49a.html