"Zvi Goffer, a trader who worked at the New York brokerage Schottenfeld Group.... was known to his alleged coconspirators as “the Octopussy,’’ because he had so many channels of illicit information"
I think you know who his employer is, don't you?
"Cambridge high tech firm swept up in insider trading case" by Hiawatha Bray, Globe Staff | October 18, 2009
Entangled in one of the biggest hedge fund insider trading cases in US history is a leading Massachusetts high technology company: Akamai Technologies Inc. of Cambridge.
In complaints filed Friday in New York, federal prosecutors charged that the founder of hedge fund Galleon Group, billionaire Raj Rajaratnam, and five others had generated $20 million in illegal profits from illegal insider trading. The prosecutors said that Rajaratnam had cultivated a network of informants who provided him with inside information on a host of major high-tech companies, including chipmaker Advanced Micro Devices Inc., wireless network carrier Clearwire Corp. and search service Google Inc.
They also charged that an unidentified Akamai employee provided inside information on the company’s financial condition, allowing Galleon to generate an illicit windfall of $3.5 million from trading in company stock....
One can only speculate as to why unidentified, but I think you (rhymes with, actually) know where I'm going with this. It is, after all, a Zionist War Daily!
Akamai is the world’s leading provider of Internet content delivery services - the infrastructure on which digital data flows online. The company’s obscure but vital activity enables many of the world’s leading Internet sites to inexpensively deliver vast amounts of text, audio, and video to hundreds of millions of users worldwide. Akamai estimates that it is responsible for delivering between 10 and 20 percent of the world’s Internet traffic....
The Galleon case, however, features wiretap evidence obtained during the period when the trades occurred.... Rajaratnam had come under investigation in November of 2007 after a securities trader suspected of insider trading agreed to work with federal prosecutors. His phone lines were already tapped when he was contacted on July 24, 2008 by a co-conspirator not named by prosecutors....
Again with the not named bit.
Prosecutors say that because he knew about it in advance, Rajaratnam was able to “short-sell’’ Akamai stock.
Why does the name Buzzy Krongard ring a bell, readers?
In short-selling, a trader borrows shares of a stock, then sells them at the current price. If the stock then falls in price, the trader can buy back the shares at the new, lower price and give them back to the lender. But the trader keeps the profit he made by selling the stock at its earlier, higher price. Short-selling is a common practice and perfectly legal, but not if it’s based on inside information. Along with short-selling, Rajaratnam also allegedly bought “put options’’ in Akamai stock. A put option gives the trader the right to sell stock at a fixed price, so that after Akamai’s stock price fell, Rajaratnam could still sell his shares at the old, higher price. Again, this is legal when done without inside information.
And CUI BONO from 9/11, world?
Former Massachusetts US Attorney Michael Sullivan, now a partner at the law firm founded by former US attorney general John Ashcroft, said businesses need strict ethical guidelines to discourage the abuse of inside information: “Obviously if you have somebody who decides they’re going to ignore the company’s ethical requirements and start sharing information, there’s not much you can do to control that.’’
But the government can climb up your ass with a microscope and listen to your calls, read your e-mails, etc, etc.
--more--"
And about those UNNAMED CONNECTIONS?
"Net widens in Galleon investigation; More Bay State firms caught up in federal insider trading case" by Hiawatha Bray, Globe Staff |November 6, 2009
.... Federal investigators cracked the case using wiretaps and confidential informants, uncovering a network of traders who dealt in confidential corporate information. At the center of the web was Zvi Goffer, a trader who worked at the New York brokerage Schottenfeld Group during 2007, when some of the transactions were made.
Need I even type it?
He later worked at Galleon, leaving in August 2008 to found his own company, Incremental Capital. According to the SEC complaint, Goffer was known to his alleged coconspirators as “the Octopussy,’’ because he had so many channels of illicit information....
And here is his HELPER:
Another New York lawyer named Jason Goldfarb. Goldfarb was also arrested yesterday, charged with passing the inside information on to Goffer....
--more--"When you boil it all down it's always the same crew behind it all.
