High court rejects insider trader's appeal

Published on NewsOK Modified: June 16, 2014 at 8:38 am •  Published: June 16, 2014
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WASHINGTON (AP) — The Supreme Court has rejected an appeal from a onetime billionaire hedge fund founder who was convicted on insider trading charges.

The justices did not comment Monday in letting stand the 2011 conviction of Raj Rajaratnam, who is serving an 11-year prison sentence for committing securities fraud.

Rajaratnam wanted the high court to review what role insider information played in the securities trades for which he was convicted. He also asked the justices to look at whether the government properly obtained a wiretap on his cellphone that was used to capture 2,200 private conversations.

The federal appeals court in New York previously upheld the conviction of Rajaratnam, who founded the Galleon group of hedge funds.

His brother, Rengam Rajaratnam, is facing federal fraud charges.