The stocks of a few small companies could be unintended victims of Galleon Group's problems.

Galleon, the hedge-fund manager whose founder, Raj Rajaratnam, was arrested Friday on charges of insider trading, recently owned 3% of the outstanding shares of OSI Pharmaceuticals Inc. (OSIP) and 5.9% of Huron Consulting Group Inc. (HURN), among other companies, according to SEC filings.

Galleon Group's equity portfolio also holds relatively small positions in many large stocks, but its stakes in some smaller companies could cause ripples in the small- and micro-cap space if the hedge-fund firm is forced to quickly sell shares.

Rajaratnam's lawyer has insisted his client isn't guilty of the charges. But investors in the group's funds could follow the lead of Rochdale Investment Management, which said Monday it was liquidating its stake in the Galleon Diversified fund. If enough investors left Galleon, managers at the firm could be forced to sell shares of companies it owns in order to meet those redemptions.

Galleon could also seek to prevent investors from redeeming money immediately.

Huron shares were up 1.9% at $24.32 in recent trading while OSI shares were up 0.8% to $32.15. Galleon's OSI stake was reported as of June 30; OSI has a stock-market capitalization of about $1.9 billion, according to FactSet Research Systems Inc. Galleon's stake in Huron was reported as of mid August; Huron, with a stock market capitalization of $524 million, provides operational and financial consulting to other companies' management teams.

Galleon also owned, as of June 30, more than 6% of the outstanding shares of Hutchinson Technology Inc. (HTCH), which supplies technology for computer disk drives and has a market capitalization of less than $200 million. Hutchinson's shares were unchanged at $6.85 recently.

The biggest chunk of Galleon's U.S. holdings are very large stocks such as eBay Inc. (EBAY), Apple Inc. (AAPL) and Google Inc. (GOOG). It's unlikely that sales of these stocks by Galleon would cause much impact on their share prices. After all, Galleon's $100 million-plus position in eBay represents less than 0.5% of eBay's outstanding shares, according to filings. According to its most recent filings, Galleon also owns nominal stakes in Bank of America Corp. (BAC) and JPMorgan Chase & Co. (JPM).

The specific hedge fund managed by Rajaratnam is a technology fund.

Galleon's troubles already had an impact Monday in Sri Lanka, where Rajaratnam was born and is a citizen (he is also a citizen of the U.S.). Many of Galleon's top holdings, including John Keels Holdings PLC (JKH.SL), Commercial Bank of Ceylon Ltd. (COMB.SL) and National Development Bank Ltd. (NDB.SL), are traded on the Colombo Stock Exchange in Sri Lanka. That market's benchmark lost as much as 3% early Monday, and ended down 1.6%.

Gauging how much impact one seller could have on a stock isn't an exact science. In September and October, hedge-fund manager Eastbourne Capital Management liquidated its entire stake in Amylin Pharmaceuticals Inc. (AMLN), a company in which it owned 12.5% of outstanding shares. Amylin's stock was barely affected.

On Friday, after the arrests of Rajaratnam and five others accused in the $20 million insider-trading ring, a spokesman for Galleon said the firm was "shocked" at Rajaratnam's arrest and intends to cooperate fully, adding: "Galleon continues to operate and is highly liquid."

-By Joseph Checkler, Dow Jones Newswires; 212-416-2152; joseph.checkler@dowjones.com

(Eric Bellman contributed to this article.)