this is the crap retail investors has to deal with, greed, most are not caught

Companies respond to insider trading scandal

Thomson Reuters






NEW YORK, Oct 19 (Reuters) - The companies whose executives
are alleged to have been involved in the biggest hedge-fund
insider-trading case ever issued statements on Monday and
provided updates on actions they have taken:

* International Business Machines Corp : Senior IBM
executive Robert Moffat is accused of passing on information
about his own company, Sun Microsystems Inc and
Advanced Micro Devices .

"In view of a U.S. federal investigation into his personal
activities, Mr. Moffat has been placed on temporarily leave of
absence and is no longer serving as an officer of IBM," said
company spokesman Edward Barbini. He declined to comment
further including whether IBM was conducting any internal
investigations.

* Intel Corp : Intel has not yet been contacted by
federal officials about the charges against Intel Capital
managing director Rajiv Goel, spokesman Chuck Molloy said.
Molloy added that Goel is on administrative leave and Intel has
launched internal investigations.

Meanwhile, Chief Executive Paul Otellini told Fox Business
News on Monday: "He's a fairly low level guy. If this is true,
he's out -- he's going to have to find a new place to make a
living."

* Polycom Inc : Chief Executive Bob Hagerty sent
employees an email: "Polycom has strict rules and policies
against employees divulging confidential insider information
and we completely support government action against anyone who
breaks these rules. We will provide any and all assistance
needed to the authorities to fully support this
investigation."

* Google : The SEC complaint says an unnamed
tipster received information from investor relations firm
Market Street Partners about a shortfall in Google's earnings
and passed it on to Rajaratnam. Representatives from Google and
Market Street declined to comment.

* McKinsey & Co: Anil Kumar, a California-based director at
the management consulting firm, has been placed on indefinite
leave after being accused of providing information about AMD to
Rajaratnam. McKinsey declined to comment except to say it was
"distressed" at Kumar's arrest. Kumar has asked for leave of
absence from the board of the Indian School of Business.

* Moody's Investor Service: An associate analyst at the
credit rating agency is accused of being paid $10,000 in 2007
for passing on a tip that Hilton was about to be bought by The
Blackstone Group. Moody's spokesman Michael Adler said the
agency has a strict policy against divulging confidential
information and will assist the government in its
investigation.

* Akamai Technologies Inc : An unidentified Akamai
employee provided inside information about the company's
earnings, according to the complaint. A spokesman did not
return multiple calls for comment.
(Compiled by Anupreeta Das, Ian Sherr and Ritsuko Ando;
Editing by Gary Hill)