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Intel Capital chief Mr Goel was previously atop executive for the Aditya Birla group in India. He is one of those arrested for giving information to Galleon founder Rajaratnam, about an Intel investment in Clearwire. In the related matter Ms Hussain is alleged to have passed information about Google's 2007 second quarter results to Ms Khan the tipster in the Galleon case.

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Moody's analyst Mr Shah passed information to the tipster in the Galleon case. The tipster is Ms Khan, a former hedge fund manager who worked at Galleon. Mr Shah left for India in 2007.

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The Fed announced that it will review compensation policies of 28 of the large complex banking organizations in the USA. The review will be an horizontal one that compares them to each other. The other significant move is that the Fed wants to see employees who take greater risks and use large amounts of borrowed money, to receive negative points in evaluating how well they have done, and consequently to be compensated less than other employees who earn money for banking firms while controlling the risks associated with transactions. This ties in with the discussions at the G-20 meeting in Pittsburgh, where the Europeans pushed for tighter regulation on bonuses and pay, to control the excessive risktaking of banking firms. This is because the prevailing culture in global financial institutions is a high risk high return culture, which ignores the social consequences of bad decisions. There is no cost to individuals taking the risks on other people's money, and regulations discouraging risk are not in place. The question remains, is this an adequate response to prevent future crises, or too little too late? If the banking community does not see it this way, and financial regulation is watered down in Congress- see the links to this- then it will much like Don Quixote swinging at windmills. In this sense the title of this piece is a misnomer, as the Fed has not hit banks with sweeping pay limits. It only said it would review pay practices. It is jawboning of the mild kind to show the public something is done. See Paul Volcker's point that pay practices would adjust and desirable goal of less risktaking and reasonable salaries would be achieved by separating deposit taking banks from banks engaged in trading activities. Similiarly, the governor of the Bank of England, Mervyn King, made the point recently that the biggest banks should be broken up. That is supported by the intuitive sense of experts that banks engaged with depositors should be engaged in the social functions of society, lending and supporting economic activity, and the trading desks of investment banks should operate entirely separately from this. One should be insulated from the other. In this sense there is a bit of evasion in these actions. A Wall Street capture of regulatory activity continues, of regulators and senior economic advisors in the administration, as the coziness between the two lingers on from a previous era of deregulation. This has the potential to cost the country and the global economy dearly in another crisis, and the jobless and young jobless people especially. In this economy both in Europe and the USA, the jobless young have been left with the least hope. ...

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The European Economic Recovery Plan adopted in November 2008 includes money for social cohesion policy spending. This spending is designed to ensure that there is money in the pipeline for spending on infrastructure and transport, training and education. Poland for example was entitled to 67.3 billion euros for 2007 through 2013 and has been able to maintain its spending in these areas with the help from the E.U. Ith has also helped Germany and the U.K.

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Concern about stimulus spending for infrastructure. Are the best projects being funded? Are some projects that are shovel ready but not the ones we should be doing first going to get done before other essential projects. The lack of acoherent plan for rebuilding the nation's crumbling infrastrure of roads, bridges and highways. Martin Feldstein says that this recession will last longer than others, so the stimulus spending even if slow will show its impact in 2010 and 2011.

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Controlling health costs from noncompliance by diabetes patients results in cost savings upto $33,000 per patient for GE. GE's new diabetes Health Plan with United is intended to improve compliance and reduce cost.