NY court hears hedge fund boss' bail arguments

By the Associated Press | November 30, 2011 | 11:20 AM EST

NEW YORK (AP) — A federal appeals court has not immediately ruled after hearing arguments over whether a former hedge fund boss sentenced to 11 years in prison should remain a free man pending his appeal.

The three-judge panel of the 2nd U.S. Circuit Court of Appeals in Manhattan did not indicate at Wednesday's hearing which way it was leaning in the question over Raj Rajaratnam's (rahj rah-juh-RUHT'-nuhm) freedom.

The 54-year-old Galleon Group founder was sentenced in October. He is scheduled to report to prison on Monday.

Rajaratnam's lawyer Patricia Millett (MIHL'-eht) says there is a substantial question of law on appeal that entitles him to bail because he's not a flight risk. A prosecutor argued that there was no substantial question of law and said he should go to prison.