Galleon Used Insider Tips for Earnings ‘Edge,’ Ex-Employee Says
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Galleon Group LLC made money when company revenue figures differed from the Wall Street consensus by using insider tips as an “edge,” a former portfolio manager testified at his ex-boss’s trial.
Adam Smith told jurors in the criminal trial of Raj Rajaratnam that part of his job was “getting the number” -- learning revenue figures before they became public -- from insiders at Intel Corp., the world’s largest semiconductor maker, Intersil Corp., Synaptics Inc. and other publicly traded companies.