360° Coverage : Rajat Gupta fined $13.9 mn for insider trading

1 Updates
Rajat Gupta fined $13.9 mn for insider trading
Photo Credit: Spencer Platt, Getty Images

Rajat Gupta fined $13.9 mn for insider trading

Jul 18 2013, 1:00am CDT | by

Washington, July 18 (IANS) Former Goldman Sachs Indian-American board member Rajat Gupta, who was found guilty of tipping corporate secrets to jailed billionaire hedge-fund manager Raj Rajaratnam, has been fined $13.9 million in a related case.

Washington, July 18 — Former Goldman Sachs Indian-American board member Rajat Gupta, who was found guilty of tipping corporate secrets to jailed billionaire hedge-fund manager Raj Rajaratnam, has...

Filed under: news

YouTube Videos

 
 
 

1 year ago

Rajat Gupta fined $13.9 mn for insider trading

Jul 18 2013, 1:00am CDT | by

Washington, July 18 (IANS) Former Goldman Sachs Indian-American board member Rajat Gupta, who was found guilty of tipping corporate secrets to jailed billionaire hedge-fund manager Raj Rajaratnam, has been fined $13.9 million in a related case.

Washington, July 18 — Former Goldman Sachs Indian-American board member Rajat Gupta, who was found guilty of tipping corporate secrets to jailed billionaire hedge-fund manager Raj Rajaratnam, has been fined $13.9 million in a related case.

Gupta, 64, has also been permanently barred from serving as an officer or director of a public company and from associating with any broker, dealer, or investment adviser, the Securities and Exchange Commission announced here Wednesday citing an order of a federal judge in New York.

The top US regulator said it had previously obtained a record $92.8 million penalty against Galleon Group co-founder Rajaratnam, 56, for prior insider trading charges.

Gupta was found guilty on June 15, 2012, of divulging confidential information to Rajaratnam about Berkshire Hathaway's $5 billion investment in Goldman Sachs as well as nonpublic details about the bank's financial results for the second and fourth quarters of 2008.

In October, Gupta was sentenced to two years in prison and ordered to pay a $5 million criminal fine. He is free pending his appeal of the decision.

"The sanctions imposed today send a clear message to board members who are entrusted with protecting the confidences of the companies they serve," said George S. Canellos, Co-Director of the SEC's Division of Enforcement.

"If you abuse your position by sharing confidential company information with friends and business associates in exchange for private gain, you will be prosecuted to the fullest extent by the SEC."

The SEC said on Dec 26, 2012, it obtained a final judgment ordering Rajaratnam to disgorge his share of the profits gained and losses avoided as a result of the insider trading based on Gupta's tips, plus prejudgment interest.

Rajaratnam in June lost an appeal of his 2011 conviction for conspiracy and securities fraud. He was ordered to pay a record $92.8 million penalty in the SEC matter, and to forfeit more than $53.8 million and pay a $10 million fine in the criminal case.

He is serving an 11-year prison sentence at the Federal Medical Centre Devens in Ayer, Massachusetts.

(Arun Kumar can be contacted at arun.kumar@ians.in)

IANS

Source: IANS

 

Don't miss ...

 

<a href="/latest_stories/all/all/8" rel="author">Luigi Lugmayr</a>
Luigi is the founding Chief Editor of I4U News and brings over 15 years experience in the technology field to the ever evolving and exciting world of gadgets. He started I4U News back in 2000 and evolved it into vibrant technology magazine.
Luigi can be contacted directly at ml@i4u.com. Luigi posts regularly on LuigiMe.com about his experience running I4U.

 

blog comments powered by Disqus

Latest stories

Pakistan wants meaningful dialogue with India: Sharif
Islamabd, Nov 28 (IANS) Pakistan Prime Minister Nawaz Sharif Thursday said that his country wants a meaningful dialogue with India on all issues, media reported.
 
 
Mexican president unveils reform bill to fight organised crime
Mexico City, Nov 28 (IANS) Mexican President Enrique Pena Nieto announced Thursday a 10-point reform bill that will unify Mexico's multi-layered police forces and stop collusion between government officials and local gangs.
 
 
Russia sees threat in Ukraine's potential NATO membership
Moscow, Nov 28 (IANS) Russia considers Ukraine's potential NATO membership as a threat to global stability, Russian Deputy Foreign Minister Alexei Meshkov said Thursday.
 
 
Russia to build railway line bypassing Ukraine
Moscow, Nov 28 (IANS) Russia will build new railway tracks that bypass Ukrainian territory, Transport Minister Maxim Sokolov said Thursday.
 
 
 

Latest from the Network

OPEC decides against oil production cut despite price slump
Viena, Nov 28 (IANS) The ministers of the Organization of Petroleum Exporting Countries(OPEC) decided here Thursday to maintain its output level despite crude oil price fell to a four-year low level. The decision to...
Read more on Business Balla
 
12 killed in bus accident in Egypt
Cairo, Nov 28 (IANS) At least 12 people were killed and three others injured Thursday as a passenger bus overturned into a canal in Egypt's Beni Sweif province, around 120 km south of the capital Cairo, media reported...
Read more on Politics Balla
 
Explosions, gun fire rock Kabul diplomatic enclave
Kabul, Nov 27 (IANS) Two explosions followed by gunfire rocked the diplomatic enclave here Thursday night, a security officer said. The area of the blast is close to the Tajikistan embassy. The incident occurred in...
Read more on Politics Balla
 
Saarc leaders' wives ladies go sight-seeing at Bhaktapur
Kathmandu, Nov 27 (IANS) While the Saarc leaders conferred on regional matters at the tourist resort of Dhulikhel, their wives drove to the World Heritage Site of Bhaktapur to enjoy the sights of the ancient city. The...
Read more on Politics Balla
 
Maria Shriver 'disgusted' by Miley Cyrus's party
Patrick Schwarzenegger's mother was ''disgusted'' by Miley Cyrus's birthday celebrations. Maria Shriver - who, along with Arnold Schwarzenegger, are the parents of the 21-year-old actor - is reportedly ''very worried''...
Read more on Celebrity Balla
 
Kim Kardashian and Kanye West planning nude photoshoot together?
Kim Kardashian West and Kanye West want to do a nude photoshoot together. The couple are reportedly keen to pose naked alongside each other, after the 34-year-old 'Keeping Up With The Kardashians' star recently stripped...
Read more on Celebrity Balla