Sometimes it seems that insider trading cases are all about hedge funds. After all, the overwhelming majority of the federal government’s multi-year crackdown on insider trading has netted dozens of traders and analysts working in the $2.25 trillion hedge fund industry.

But this week’s escapades involving a former top audit partner at KPMG and his golfing buddy are reminder that the temptation to profit from inside information exists in many industries and professions.

Still, senior hedge fund reporter Svea Herbst-Bayliss reminds us in the following post,  a recent survey found a good portion of people who labor for hedge funds harbor private doubts about the integrity of their colleagues. If the numbers expressed in this survey are anything close to accurate, law enforcement should be busy for quite a while longer.

By Svea Herbst-Bayliss

This week’s insider trading case involving a former KPMG partner has stolen some of the attention from the hedge fund industry. But a survey released this month suggest the regulatory heat won’t be lifting from the industry any time soon.

Half of the respondents in the hedge fund industry survey said they believe their competitors engaged in illegal activity and more than one third said they have felt pressure to break the law or engage in unethical behavior. The poll was  commissioned by law firm Labaton Sucharow LLP, HedgeWorld and the Hedge Fund Association and released earlier this month.