7 charged in 'record insider trade'

Greed on Wall Street set a new record, US government authorities said, as they unveiled a massive insider trading case and charged a hedge fund co-founder with engineering a transaction that earned a staggering 53 million dollars (£34.4 million) in profits.

The illegal trade - the largest transaction prosecuted in Manhattan - was part of a 78 million dollar (£50.6 million) scheme involving at least seven financial industry professionals, US Attorney Preet Bharara said.