Ex-boss of AMD linked to Galleon fraud probe
Hector Ruiz fingered
The ex-boss of AMD Hector Ruiz could face charges relating to the Galleon insider trading case.
Ruiz - former chief executive of AMD and now chairman of Globalfoundries - is accused of passing information on to hedge fund manager Danielle Chiesi, not of profiting personally.
Court documents reveal that an executive at AMD told Chiesi that the company planned to spin off its manufacturing business into GlobalFoundries in September, ahead of the official announcement in October. Chiesi worked for hedge fund New Castle and sought to profit from the information. She is also accused of getting inside info from senior IBM executive Robert Moffat.
Ruiz was fingered by anonymous sources talking to Bloomberg. Ruiz and GlobalFoundries, declined to comment. Ruiz has not been charged with any offence.
Executives from Intel have also been dragged into the case, which the FBI describes as the world's largest ever insider trading case. It is also the first time that wire-tap evidence has been used to bring insider trading charges.
The $20m scam still has a long way to unravel and is dragging in most of the biggest names in the industry - Google recently dropped its investor relations firm Market Street Partners over allegations that one of its staff leaked Google's numbers to someone at Galleon.
IBM executive Robert Moffat has been suspended after he was arrested and charged with conspiracy. ®
Hector Ruiz is pants
First this idiot goes and makes one of the worse aquisitions in history (ATI) which directly contributes to AMD allowing Intel to far surpass them. And on top of it he is another one of these good ole boys that ruins his employees lifes while he continues to get large bonuses and hook up his college buddies with illegal info. This guy is the king of stealing defeat from the jaws of victory. Our economic system is so broken and this case is just another example. It is looking like the turn of the 20th century with all the robber baron trusts. Well at some point the sheeple will wake up and realize hey I am never going to be that top %1 that own everything and sanity will return. Not socialism of course but more like the 1950's where the middle class did own a decent portion of the total wealth.