Rengan Rajaratnam, the younger brother of convicted insider trader and former Galleon Group hedge fund founder Raj Rajaratnam, is in plea talks with the government on his charges, according to June 3 court filings.
The younger Rajaratnam, who worked at Galleon Group beginning in 2001, was charged with insider trading in March and has pleaded not guilty.
Rajaratnam’s lawyers had been scheduled to discuss his case at a pretrial hearing June 4, but the conference was adjourned due to plea talks, prosecutors said.
“It would be very helpful to have additional time for these discussions,” the government said in the filing, asking for an additional 45 days of discovery.
Rajaratnam’s attorney, Vinoo Varghese, declined to comment, The Wall Street Journal reported.
Raj Rajaratnam was convicted in 2011 of insider trading and is currently serving an 11-year sentence. He is appealing the verdict and awaiting a decision by the appeals court.
Prosecutors allege the younger Rajaratnam, 42, of trading on insider information in the stocks of wireless-broadband company Clearwire Corp and chipmaker Advanced Micro Devices in 2008 for a total of $1.2 million in allegedly illegal profits.
Arrested by FBI agents at New York’s John F. Kennedy International Airport after returning to the U.S. from Brazil in March, he is also facing a civil lawsuit filed by the SEC accusing him of more illicit trading.