• 20 Oct 2009 at 7:57 AM

Opening Bell: 10.20.09

Galleon Clients Abandon Ship (WSJ)
Redemption requests are up to $1.3 billion (out of $3.7 billion) so far and Bank of America Merrill Lynch and Barclays have told Galleon they will no longer trade securities positions with the fund.
Prosecutor In Galleon Case Makes A Splash (WSJ)
“What former Manhattan U.S. Attorney Rudy Giuliani did to the mob is what Preet Bharara will do to Wall Street.”
Wall Street On Edge As SEC Top Cop Gets Aggressive (Reuters)
Also on your list to fear: “Robert Khuzami, who convicted the “Blind Sheik” and his ring of bomb plotters in that trial, is targeting a different kind of villain — corporate executives, traders and fund managers who dare to break securities laws. About six months into his job as the U.S. Securities and Exchange Commission’s enforcement director, Khuzami, who was handpicked by SEC Chairman Mary Schapiro, has shaken the agency to its core with reforms designed to ensure it does not miss the next Bernard Madoff.”

Galleon Traders Seek Legal Advice, Update Resumes
(Bloomberg)
Downplay having worked for Raj-Raj, etc.
NYC Judge Tosses $10 Million Suit Against Biden’s Son, Brother (AP)
Stephane Farouze didn’t lay out his allegations against Hunter Biden and James Biden ”with any meaningful degree of particularity,” Manhattan state Supreme Court Justice Bernard J. Fried wrote in an order filed Friday.
10 More People To Be Charge With Insider Trading This Week (Bloomberg)
Some related to the Galleon case, some not. Let’s take bets on who they are!


Rajaratnam’s Letter to Employees (WSJ)
“I am innocent and will vigorously defend myself and our firm. As I move forward on my defense, I want to assure you that our commitment to our investors and employees will remain unwavering. I will continue to be here working for Galleon, and the firm will continue to serve its clients with effectiveness and integrity.”

Comments (22)

  1. Posted by guest | October 20, 2009 at 8:05 AM

    Anyone have some Galleon swag they would like to sell? There’s space next to my Bear mug and Lehman squeezeball.

  2. Posted by guest | October 20, 2009 at 8:13 AM

    all tubby sri lankan all the time!

  3. Posted by guest | October 20, 2009 at 8:13 AM

    Next? Falcon and Richard Heene

  4. Posted by guest | October 20, 2009 at 8:14 AM

    Handbridge expecting inflows of funds, resumes.

  5. Posted by guest | October 20, 2009 at 8:15 AM

    next? ping jiang.

  6. Posted by guest | October 20, 2009 at 8:15 AM

    So an Indian attorney is set to crush this Sri Lankan swindler? Someone butter the popcorn…

  7. Posted by guest | October 20, 2009 at 8:25 AM

    @6 A fat Sri Lankan swindler
    More of a squish than a crush

  8. Posted by guest | October 20, 2009 at 8:47 AM

    Is Raj still in the can?

  9. Posted by guest | October 20, 2009 at 8:48 AM

    He came dancing across the water
    With his galleons and gums
    Raj-Raj, Raj-Raj
    What a glutton
    ~N.Young

  10. Posted by guest | October 20, 2009 at 9:11 AM

    I’m pretty sure Raj sang this to his employees during the pep talk:
    I will go down with this ship,
    I won’t put my hands up in surrender,
    There will be no white flag upon my door,
    I’m in love, and always will be!

  11. Posted by guest | October 20, 2009 at 9:15 AM

    Rick James

  12. Posted by guest | October 20, 2009 at 9:21 AM

    John Mack should be brought up on insider trading charges, only he won’t be. Too many Congressional Whores are on his leash!

  13. Posted by guest | October 20, 2009 at 9:22 AM

    @10 made me laugh. That is one funny image

  14. Posted by guest | October 20, 2009 at 9:27 AM

    Go on now! go walk out the door!
    just turn around now
    ’cause you’re not welcome anymore
    weren’t you the one who tried to profit on those lies
    you think I’d crumble
    you think I’d lay down and die
    Oh no, not I
    I will survive
    as long as i know how to trade
    I know I will stay alive
    I’ve got all my life to live
    I’ve got all my love to give
    and I’ll survive
    I will survive

  15. Posted by guest | October 20, 2009 at 9:55 AM

    this whole big deal is only for $18 mil? Right? largest HF insider trading case & its only for $18 mil? pennies. dude. pennies.

  16. Posted by guest | October 20, 2009 at 10:05 AM

    @15 That’s all they have evidence for. You can bet that a good part of that $1.3B involved using the “edge”.

  17. Posted by guest | October 20, 2009 at 10:05 AM

    @15:
    Then ask yourself whether it’s worth 20 years in federal prison for “pennies.”

  18. Posted by guest | October 20, 2009 at 10:13 AM

    Isn’t there a movie?
    …Scumbag Billionaire?

  19. Posted by Anal_yst | October 20, 2009 at 10:13 AM

    @17
    Ask yourself if 20 years in federal prison makes sense for the “crime?”

  20. Posted by guest | October 20, 2009 at 11:01 AM

    TGFD and almost everyone else in Delaware all know that Hunter Biden is a f’n asshole.
    The Guy from Delaware

  21. Posted by guest | October 20, 2009 at 11:10 AM

    Anal_Yst@#19…
    Unless TGFD missed the point of your satire, I would guess that you don’t think $18 Mil is a lot of money.
    It is to me and to most everyone else in the country.
    The Guy from Delaware

  22. Posted by guest | October 20, 2009 at 11:21 AM

    Committing fraud for $18M in profits is the new not making any sense

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