Danielle Chiesi, a former beauty queen who became a hedge fund trader, was sentenced to 30 months in prison for her role in a multi-million-dollar insider trading scheme. Chiesi, who once said insider trading was "like an orgasm," will also have to serve two years of supervised release and 250 hours of community service, plus pay a $25,000 fine. It was under the recommended 37-to-47-month sentence from prosecutors, so maybe that's why she was smiling outside court. more ›

Vampire squid Goldman Sachs CEO Lloyd Blankfein testified today in the Galleon insider trading trial of Raj Rajaratnam. Rajaratnam, a hedge fund founder who is out on $100 million bail, is accused of a huge insider trading ring. The trial is pretty complicated, what with hours of secretly recorded conversation and financial details, and the jury is made up of mostly blue collar New Yorkers—and one alternate juror dubbed the "Hipster Juror" who has already fallen asleep—who don't know who the hell Lloyd Blankfein is. more ›

Yesterday, the trial of Raj Rajaratnam, a hedge fund founder accused of a huge insider trading ring (how huge? well, he's out on $100 million bail), began yesterday, The federal prosecutor declared, "Greed and corruption — that’s what this case is all about," while Rajaratnam's defense said, "The government has it wrong." But who are the people who have to listen to dense financial jargon for weeks, if not months? Well, you can bet at least some are Oprah Winfrey fans. more ›

Even though he's claiming he's innocent of insider trading charges, billionaire Raj Rajaratnam is liquidating his Galleon Group hedge fund and preparing to shut it down. In a letter sent to investors, Rajaratnam wrote, "I want to reassure investors of the liquidity of our funds and assure Galleon employees that we are seeking the best way to keep together what I believe is the best long/short equity team in the business. I want to reiterate that I am innocent of all the charges." more ›

To no one's surprise, traders at the Galleon Group have been working on their resumes and calling their lawyers, after the hedge fund's founder Raj Rajaratnam was arrested on insider trading charges last week. However, he was in the office yesterday (out on $100 million bail) and also offered a letter to employees, friends and clients: "As I am sure you understand, I am not able to respond in detail to the charges recently brought against me. But let me be clear: they are, without exception, entirely baseless. I am innocent and will vigorously defend myself and our firm." more ›

The upside of being a billionaire when you're accused of insider trading? You can post the $100 million bail! Hedge fund founder Raj Rajaratnam, who was arrested on Friday after feds said he and five others shared inside information and tips to make $20 million, posted the bail on Saturday. The NY Times says that he's expected to be at his hedge fund's offices today to address his employees. more ›