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

'Secret service won't allow repeat of White House breach'
Washington, Oct 1 (IANS) US secret service chief Julia Pierson vowed Tuesday that the breach of White House security will not be allowed to happen again, amid mounting criticism over the agency's failure to prevent the intrusion of a man Sep 19.
 
 
The displaced from eastern Ukraine continue to flow
Odessa (Ukraine), Oct 1 (IANS/EFE) Despite a recent ceasefire, the people displaced by the separatist conflict in Donetsk and Lugansk in eastern Ukraine continue to flock to different areas of the country, including the port city of Odessa, which already hosts about 15,000.
 
 
IS forces closing in on Syrian-Kurdish town
Beirut, Oct 1 (IANS/EFE) The Islamic State Sunni radical group advanced Tuesday on Kobani, the Syrian-Kurdish town on the Turkish border, and have come within two or three kilometres of the strategic town, the Syrian Observatory for Human Rights, or SOHR, said.
 
 
20 killed in Algeria bus accident
Algiers, Oct 1 (IANS) At least 20 passengers were killed Tuesday in a road accident in Algeria, media reports said.
 
 
 

Latest from the Network

Apple benefited from illegal tax agreements in Ireland: EU
Brussels, Oct 1 (IANS) European Union (EU) regulators Tuesday announced that Apple Inc. enjoyed state aid from Ireland for many years via illegal tax agreements. The European Commission expressed concern over tax...
Read more on Business Balla
 
Liam Hemsworth's family thought he was posessed
Liam Hemsworth's family thought he was possessed by demons when he was a child. The Australian actor, 24, admits he and his older brother Chris Hemsworth, 31, were very naughty when they were growing up, as their...
Read more on Celebrity Balla
 
Anne Hathaway only settled into married life last year
Anne Hathaway's first year of married life was ''insane.'' The 'Les Miserables' actress, who tied the knot with jewelry designer Adam Shulman in Big Sur, California in September 2012, admits she only started to settle...
Read more on Celebrity Balla
 
George Clooney donating profits from wedding photos to his own charity
George Clooney is donating most of the profits from his wedding photographs to his own charity. The 53-year-old actor, who tied in the knot with British human rights lawyer Amal Alamuddin, 36, in Venice, Italy during a...
Read more on Celebrity Balla
 
Justin Bieber meets Kendall Jenner in Paris
Justin Bieber enjoyed a boozy lunch with Kendall Jenner today (09.30.14). The 'Baby' hitmaker, who is currently in Paris with his on-again, off-again girlfriend Selena Gomez, was spotted sipping champagne with the 18-...
Read more on Celebrity Balla
 
The displaced from eastern Ukraine continue to flow
Odessa (Ukraine), Oct 1 (IANS/EFE) Despite a recent ceasefire, the people displaced by the separatist conflict in Donetsk and Lugansk in eastern Ukraine continue to flock to different areas of the country, including...
Read more on Politics Balla
 
Alicia Keys may deliver baby on New Year's Eve
Los Angeles, Oct 1 (IANS) Singer Alicia Keys has disclosed that her due date for the delivery of her second child is on New Year's Eve this time. She finds it "cute". She is likely to deliver her baby Dec 31, 2014....
Read more on Celebrity Balla
 
IS forces closing in on Syrian-Kurdish town
Beirut, Oct 1 (IANS/EFE) The Islamic State Sunni radical group advanced Tuesday on Kobani, the Syrian-Kurdish town on the Turkish border, and have come within two or three kilometres of the strategic town, the Syrian...
Read more on Politics Balla
 
20 killed in Algeria bus accident
Algiers, Oct 1 (IANS) At least 20 passengers were killed Tuesday in a road accident in Algeria, media reports said. The accident occurred in the southern city of Laghouat when two buses collided, leaving more than 20...
Read more on Politics Balla
 
New confidence, new excitement in India-US ties: Modi (Roundup)
Washington, Oct 1 (IANS) Saying there is "new confidence, new excitement" in the India-US relationship, Indian Prime Minister Narendra Modi Tuesday assured the US of India's commitment to take their stalled landmark...
Read more on Politics Balla