FBI arrests 14 in hedge-fund insider trading probeThe FBI has arrested 14 people for alleged involvement in what prosecutors say was the largest hedge-fund insider trading scheme ever on Wall Street, prosecutors in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of said Thursday. Manhattan US Attorney Preet Bharara said 14 people, "including attorneys and Wall Street professionals" were arrested "for their alleged involvement in insider trading that netted 20 million dollars." The hedge fund hedge fund, in finance, a highly speculative, largely unregulated investment device. Originating in the 1950s, the funds "hedge" by offsetting "short" positions (borrowing a security and then selling it at a higher price before repaying the lender) against "long" , Galleon galleon, oceangoing warship used by the European naval powers in the 15th and 16th cent. A large, cumbersome vessel, the galleon was three-masted and square-rigged, usually with two decks, and with its main batteries in broadsides. Management LP, was shut down last month after founder Raj Rajaratnam was indicted INDICTED, practice. When a man is accused by a bill of indictment preferred by a grand jury, he is said to be indicted. in the alleged scheme. He faces up to 20 years in prison for allegedly using insider information on companies including Google, IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) and Hilton. Five others were charged along with Rajaratnam. Rajaratnam's fund was estimated to be worth 3.7 billion dollars when it was shut down. The entrepreneur featured on Forbes magazine's world list of billionaires this year in the 559th spot. 
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