Prosecutors for the first time said on Tuesday that alleged hedge fund insider trading kingpin Raj Rajaratnam paid for information about Advanced Micro Devices Inc.
The new allegation came in a filing in Southern District of New York federal court.
Prosecutors say the Galleon Group founder made an illegal $19 million profit on trades he executed based on information about an acquisition of ATI Technologies Inc. by AMD (NYSE:AMD). They say he paid an unidentified tipster in 2006 for information about the deal.
Previously, the government had said only that he had exchanged inside information with tipsters, not that he had paid for the tips.
How many people knew about the deal before hand?
How many of those people have already been identified as involved in this scandal?
Will be fascinating to see how this plays out.
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Corruption at the almighty AMD? Not possible. LMAO
Geez - along with the lawsuit alleging ATI stole intellectual property, I guess it's time to revoke AMD's "cures diseases" title ...