Raj Rajaratnam

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Ex-Goldman Exec Gets 2 Years for Insider Trading

Rajat Gupta also has to pay $5M fine

(Newser) - A former Goldman Sachs and Procter & Gamble board member once widely respected worldwide for his business smarts was sentenced today to 2 years in prison for feeding inside information about board dealings with a billionaire hedge fund owner who was his friend. Rajat Gupta, 63, of Westport, Conn., was...

Ex-Goldman Honcho Guilty of Fraud

Rajat Gupta convicted in insider trading scandal

(Newser) - A former Goldman Sachs director accused of feeding confidential information to a corrupt hedge fund manager has been convicted of conspiracy and three counts of securities fraud. A jury acquitted Rajat Gupta on two other securities fraud counts. Gupta's adult daughters hugged and wept as the verdict was read;...

Galleon Founder Slapped With $92.8M Civil Penalty

Convicted insider trader hit with record SEC fine

(Newser) - Galleon Group hedge fund founder Raj Rajaratnam has broken another record. The former billionaire, who received the longest-ever prison sentence for insider trading last month, has been ordered to pay the largest-ever Securities and Exchange Commission civil penalty for insider trading, reports the New York Times . The $92.8 million...

Wall Street Exec Pleads Not Guilty to Insider Trading

Rajat Gupta could face serious prison time if convicted

(Newser) - A former board member of Goldman Sachs and Procter & Gamble pleaded not guilty this afternoon to federal charges accusing him of acting as "the illegal eyes and ears in the boardroom" for a friend. The friend, of course, is billionaire hedge fund founder Raj Rajaratnam, who was sentenced...

Insider Trading Probe Nabs Ex-Goldman Sachs Director Rajat Gupta
 Ex-Goldman Exec 
 Charged With Fraud 

Ex-Goldman Exec Charged With Fraud

Rajat Gupta accused of leaking info to Galleon director

(Newser) - Former Goldman Sachs director Rajat Gupta surrendered to federal authorities today to face charges related to insider trading, the AP reports. Gupta appeared in Manhattan federal court and was charged with one count of conspiracy to commit securities fraud and five counts of securities fraud. The longtime McKinsey & Company...

Hedge Founder Gets 11 Years for Insider Trading

Raj Rajaratnam will report to prison next month

(Newser) - A former billionaire described by the government as "the modern face of illegal insider trading" was sentenced today to 11 years in prison, the longest insider trading sentence ever but short of the two decades sought by prosecutors. Galleon Group founder Raj Rajaratnam also was fined $10 million and...

Billionaire Convicted in Huge Insider Trading Case

Raj Rajaratnum of Galleon Group guilty on all counts

(Newser) - A former Wall Street titan was convicted today of making a fortune by coaxing a crew of corporate tipsters to give him an illegal edge on trades in technology and other stocks. Prosecutors called it the largest insider trading case ever involving hedge funds. Sri Lanka-born Raj Rajaratnam was convicted...

Galleon's Rajaratnam Charged in Fraud Case

Alleged inside-trader accused of conspiracy, securities fraud

(Newser) - Raj Rajaratnam was charged with five counts of conspiracy and six counts of securities fraud today, the first criminal charges related to allegations of insider trading at his Galleon group hedge fund. Danielle Chiesi, who prosecutors say was one of Rajaratnam's illicit collaborators, was hit with three counts of conspiracy...

14 Charged as Galleon Insider Trading Case Widens

Feds finger Rajaratnam associates, lawyer

(Newser) - Two former Galleon Group employees and a Ropes & Gray lawyer were among 14 people charged today in the expanding insider trading case surrounding the hedge fund founded by Raj Rajaratnam, who was busted last month. The traders and lawyers snuck around, communicating in code over throwaway cellphones, but had...

Feds Missed Galleon Warning Signs

JPMorgan warned that fund dealt in 'grey areas'

(Newser) - The government says its star witness, Roomy Khan, was the first person to pass inside info to Galleon Group honcho Raj Rajaratnam, and went on to become a central part in his operation. Which is awkward, because Khan was prosecuted in 2000 for passing insider information to someone at Galleon—...

Feds: NY Hedge Fund Boss Funded Terror

Donations were funneled to Tamil Tigers

(Newser) - A hedge-fund manager busted for insider trading has been contributing money to a Sri Lankan terrorist group, according to FBI agents. Raj Rajaratnam came under scrutiny in a federal probe into the Tamil Rehabilitation Organization, a charity which was charged with funneling money to the Liberation Tigers of Tamil Eelam,...

Look Out, Wall Street: Feds Using Wiretaps Now

Insider trading case against Galleon is first to use the tactic

(Newser) - The bad boys of Wall Street better watch their mouths. Federal prosecutors used wiretaps to make their case against hedge fund giant Raj Rajaratnam this week, and they plan to use them again in similar investigations. Wiretaps may be common when going after the mafia, say, or terrorists, but their...

Hedge Fund Founder Nabbed for Insider Trading

Raj Rajaratnam's $3B Galleon Group trades tech stocks

(Newser) - The founder of a $3 billion hedge fund and two other financial executives have been charged with insider trading, the Business Insider reports. Raj Rajaratnam, whose Galleon Group focuses on high tech stocks, was charged with conspiracy and fraud related to trades of Hilton and Google stock, among others. Execs...

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