Billionaire, Raj Rajaratnam, and five others arrested in insider trading sting

The criminal complaint claims that Rajaratnam and the others repeatedly traded on confidential information about the companies given as tips by insiders and other executives at hedge funds, public companies and investor relations firms.

The information allegedly touched on a range of upcoming developments affecting the companies -- including details of investments, mergers, acquisitions and earnings.

With net worth of $1.3 billion, Rajaratnam is on the Forbes list of the richest people of the world -- and he's apparently the wealthiest Sri Lankan. He runs Galleon Partners, based in Manhattan. Prosecutors charged him with 13 violations of securities law, which could put him in jail for life.

Others facing charges include Danielle Chiesi and Mark Kurland, employees of New Castle Funds (formerly affiliated with Bear Stearns); Rajiv Goel, an employee at Intel Capital; Anil Kumar, an employee at McKinsey; and Robert Moffatt, an executive at IBM.

All were arrested Friday by the FBI. Rajaratnam's bail was set at $100 million.