NEW YORK (AP) — Prosecutors say they will file new charges against hedge fund operator Raj Rajaratnam (RAHJ rah-juh-RUHT’-nuhm) as they double the amount of profits they say he reaped from insider trading.
The government filed papers in federal court in Manhattan on Tuesday saying it will bring a superseding indictment against the billionaire. Prosecutors say they now believe Rajaratnam’s illegal profits from insider trades were at least $36 million.
Prosecutors say Sri Lankan-born Rajaratnam should be held without bail because he is a greater risk to flee because his ties to New York are dissolving.
A message seeking comment left with Rajaratnam’s lawyer was not immediately returned.