peHUB First Read

Some links to kick off your Monday:

* Sallie Mae and and its would-be buyers have settled out of court, which saves us reporters the trouble of a trip down to Delaware. The $25 billion merger agreement will be officially terminated, with both sides’ claims being dismissed. In exchange, Sallie Mae gets a deal to refinance around $30 billion in debt that was due next month.

* General partners for Atlas Venture, Madrona Venture Group and Sequoia Capital have been named as defendants in a class action suit against storage company Isilon Systems, whose stock has fallen sharply in the past year. PE Week had the details (sub req.).

* Credit crunches and Vegas hotel fires seem unable to derail the Harrah’s buyout, which is scheduled to close today.

* Jerome Kerviel is now in custody. But how about his boss, or whoever else was supposedly responsible for overseeing this 31-year-old fraud?