Something smells bad in Wall Street

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Wall Street thriller goes on…

For some time, something smells bad in Wall Street, and despite the outright rejection that the greed of the system brings about, fraud is still the order of the day.

This time, the offensive from the authorities did not take long to show up when last Friday 16^th October six people were arrested for using illegal inside trading in a financial hedge fund. Among them, investment managers Raj Rajaratnam – a 52 year Sri Lanka billionaire –  and the hedge fund guru Mark Kurland, who handled $ 7,000 million dollars assets. Wall Street thriller goes on.

Along with four more people under arrest, they have been charged with profiting from insider information and manipulating assets that caused more than $ 20 million illegal profits. According to FBI records, this case has emerged as the largest fraud in hedge funds, investment funds that have been targeted since the beginning of the crisis on its no supervision and facilities open to fraudulent transactions.

The dismantling of this organization – orchestrated by Rajaratnam Galleon Group initiator –was made possible through wiretaps performed by the FBI. With this, the research bureau shows that the office gives to these fraud cases the same treatment than fighting drug trafficking and organized crime. Similar to Bernard Madoff, Rajaratnam enjoyed a great protection net due to be an active donor of resources to political parties.

After accusations of inefficiency and delays in monitoring cases like Bernard Madoff, SEC and the FBI have started up operational plans to clean the large image of corruption surrounding the financial sector. Rajaratnam and Kurland’s fall is just one of many to come. Part of the resolution of conflicts that sparked the current crisis, settles into purge the image of the financial sector and eliminate corporate wrongdoing.

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