Mass. Hedge Fund Manager Arrested In National Insider Trading Case

A Massachusetts hedge fund manager has been arrested in the huge Galleon insider trading case, and more local businesspeople could still be charged in the alleged scheme.

Investigators brought charges against 14 people, including Steven Fortuna, of Westwood, a former manager of the Boston hedge fund S2 Capital. He pleaded guilty in Manhattan federal court on Thursday.

The new charges also link more Massachusetts companies to the case.

A New York attorney for the Boston law firm Ropes & Gray was arrested, allegedly in connection to information gained from working with Boston’s Bain Capital. The stocks involved in the alleged insider trading include Cambridge’s Akamai Technologies, the Marlborough company 3Com, and Kronos in Chelmsford.

There are also signs that a still-unnamed employee at Akamai is a key figure in the alleged trading scheme.