The 'Dark Side' Of The Hedge Fund World

Law360, New York (August 10, 2011, 11:53 AM EDT) -- A question frequently asked when people learn of insider trading prosecutions is: "What were they thinking?" The answer usually is: "They were not." The latest string of insider trading cases takes that interchange to a new level.

While much of the media has focused on the use of wiretapping in the successful criminal case brought against Raj Rajaratnam by the U.S. Attorney's office in Manhattan, that is not the really "big show" (as Ed Sullivan used to regularly proclaim on Sunday evenings). Rather, the main event is the prosecutorial scrutiny now being brought to bear on the fact that the hedge...

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