Key Witness On Deck At NYC Insider Trading Trial
NEW YORK (CBSNewYork/AP) -- A former Intel executive who has pleaded guilty to leaking company secrets has begun testifying in New York City at a hedge fund manager's insider trading trial.
Prosecutors say Rajiv Goel and the defendant, Raj Rajaratnam, were caught on a wiretap discussing a closed-door meeting in 2008 of the Intel board of directors. Goel revealed that the board agreed to invest up to $1 billion in a joint wireless venture by Sprint and Clearwire.
Goel said early in his testimony Tuesday that he violated his obligation to keep secrets by sharing information with Rajaratnam.
The 53-year-old Rajaratnam has pleaded not guilty to charges he made millions trading illegally on secrets.
Nineteen defendants charged in a federal crackdown on insider trading have pleaded guilty. Some are cooperating, including Goel.
RELATED: Govt: Galleon Founder Wanted Edge In Stock Trading | Accused Hedge Fund Boss's Trial Could Start Today | Jury Selection To Begin In NY Insider Trading Trial | Defendant Pleads Guilty In New York Hedge Fund Case
(TM and Copyright 2011 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2011 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
