<p>Galleon Group LLC co-founder Raj Rajaratnam, who is serving 11 years in prison for insider trading, agreed to pay $1.5m to settle a civil case brought by the U.S. Securities and Exchange Commission.</p><p>Bloomberg reports that Rajaratnam agreed to pay $1.3mi representing profits gained and losses avoided as a result of the conduct the SEC alleged in the case, according to a filing yesterday in federal court in New York. He will also pay $147,738 in interest.</p><p>Rajaratnam was convicted of directing the biggest hedge fund insider-trading scheme in U.S. history. At trial, the government introduced 45 wiretap recordings, along with documents and testimony derived from the wiretaps.</p><p>The news organisation also reports that Australian financial analyst Trent Martin was indicted in the U.S. on charges stemming from an alleged insider-trading scheme tied to IBM's $1.2bn acquisition of SPSS Inc.</p><p><a href="http://hereisthecity.com/2012/12/27/rajaratnam-settles-sec-case-analyst-indicted-on-ibm-related-insi/">Keep reading...</a></p>