If publicly traded companies must deliver bad news, they do it on Friday nights. That’s because stock markets aren’t open on Saturday, at least in North America.
Tonight Polycom had some bad news to deliver, announcing in an SEC filing that Sunil K. Bhalla, the SVP and general manager of its Voice Communications Solutions, would be placed on administrative leave, effective immediately. His duties will assumed by Polycom CEO Robert Hagerty.
The announcement is connected to the insider-trading scandal involving the Galleon Group, a technology hedge fund founded and run by Raj Rajaratnam.
As recounted in a story published in the UK’s Guardian, Polycom was one of the companies on which Rajaratnam allegedly received inside information. The FBI confirmed last week that a Polycom executive had passed on information regarding the company’s quarterly results.