Criminal charges have been filed against 14 people, including attorneys and Wall Street professionals, in a widening $53 million insider trading case that has already snared Raj Rajaratnam, one of the richest men in America, federal prosecutors said Nov. 5, 2009.Twenty people have been charged in the case first disclosed in October 2009, with the arrests of Galleon Group founder and hedge fund operator Rajaratnam and five others.At the time, U.S. Attorney Preet Bharara called the first arrests "a wake-up call for Wall Street."
Disgraced financier Bernard Madoff pleaded guilty to all 11 felony charges brought against him. After pleading guilty, Madoff told the court: "I always knew this day would come." He was sentenced on June 16, 2009, and is serving his 150-year sentence at Butner Federal Correctional Complex in Butner, N.C.
R. Allen Stanford
Billionaire R. Allen Stanford is escorted into the federal courthouse June 25, 2009, in Houston. Stanford faces federal charges that he ran a $7 billion scheme to defraud investors through his international banking empire. Stanford, the founder of Stanford Financial, was indicted on criminal fraud charges June 18, 2009.
Martha Stewart was convicted in early 2004 of conspiracy, making false statements, and obstruction of justice. She received a five-month prison sentence in 2005 to the Anderson Federal Women's Prison in Alderson, W.Va. Her sentence also included a period of house arrest and fines.