Regulators are investigating Pequot Capital Management, a $7 billion hedge fund, for possible insider trading, The New York Times said on Friday, citing government officials briefed on the case.

A lawyer who once led the Securities and Exchange Commission's investigation told Congress that trading at Pequot repeatedly aroused suspicion among stock exchange officials, the newspaper said.

Records show exchange officials on 18 occasions referred cases to the SEC for further investigation, it said.

The investigation has not resulted in any charges against Pequot, and the hedge fund has denied any wrongdoing, the Times said. The SEC declined to confirm or deny the investigation.

Pequot, which is run by Arthur Samberg, is one of the oldest and most powerful hedge funds in the United States.