SEC Charges Former Tech Company Executive for Role in Rajaratnam Insider Trading Case

The SEC charged former senior director of marketing at Akamai Technologies, Kieran Taylor, with illegally tipping non-public information about the company's financial predicament as part of the insider trading scheme operated by now-imprisoned hedge fund founder Raj Rajaratnam.The SEC alleges that Taylor illegally tipped hedge fund portfolio manager Danielle Chiesi with confidential information about the company's plans to lower its revenue guidance for 2008. Chiesi in turn tipped Rajaratnam with the non-public information in order to trade ahead of the negative news.

See: SEC Complaint; SEC Press Release.See also: SEC Obtains $13.9 Million Penalty against Rajat Gupta (July 17, 2013) SEC Litigation Release Regarding "Rengan" Rajaratnam Insider Trading Case (March 25, 2013); SEC Charges "Rengan" Rajaratnam with Insider Trading (March 21, 2013) SEC Obtains Final Judgment on Consent as to Raj Rajaratnam (December 27, 2012); SEC Charges Silicon Valley Executive for Role in Galleon Insider Trading Scheme (October 26, 2012).