Setback in Galleon case

US District Judge Jed Rakoff refused to approve an agreement by a trading company tied to the Galleon Group hedge fund insider trading case to pay about $763,000 (£500,000) to settle a US Securities and Exchange Commission (SEC) securities fraud lawsuit.

The refusal came six days after the trading company, Schottenfeld Group LLC, won approval from a different Manhattan federal judge, Richard Sullivan, to pay $1.21m to settle a related SEC civil lawsuit.