Crooks turning in crooks: Galleon informant forged housekeeper's signature

[leanderj]

http://www.mercurynews.com/breaking-news/ci_13612955#

Galleon informant identified as one-time Atherton resident
By Pete Carey

A woman who until this summer lived in Atherton has been identified as the key informant in an insider trading case that has led to the arrest of six people, including the co-founder of the New York-based Galleon Group of hedge funds. Galleon co-founder Raj Rajaratnam and five others — including employees of the consulting firm McKinsey and Intel — are accused by the Securities Exchange Commission and U.S. Department of Justice of swapping inside information to make stock investments in a series of high-tech companies...

An unidentified informant who once worked for Galleon in the 1990s was caught making trades on nonpublic information and became a key witness in the investigation, according to federal complaints. The Wall Street Journal reported Wednesday that the informant is Roomy Khan, a 51-year-old stock trader who lived until recently in a palatial home in Atherton. Khan could not be reached for comment. Khan and her husband, Sakhawat M. Khan, lived in a 7,000-square-foot Atherton home that recently sold for $9 million.

Khan figured in news stories last year after she and her husband were sued by their housekeeper for nonpayment of wages.

The case was settled by the Khans after faked evidence surfaced, according to a report in the Recorder, a San Francisco based publication. The questionable evidence was a document introduced by the Khans, bearing what a document examiner for the plaintiff said was a "cut and paste" version of the housekeeper's signature, the Recorder reported.