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

Scottish referendum polls end, huge turnout reported
London, Sep 19 (IANS) Polling in the referendum to decide whether Scotland should stay in the UK or become an independent country have closed and counting is under way, BBC reported.
 
 
Parliamentarians urges EU to cut off IS resources
Brussels, Sep 19 (IANS) The European Parliament Thursday urged the European Union (EU) to enforce sanctions against business bodies related to the Islamic State (IS) in a bid to cut off its resources.
 
 
Nigerian troops capture Boko Haram leader
Abuja, Sep 19 (IANS) Nigeria army have arrested a senior commander of the Boko Haram sect, which is blamed for killing hundreds of people since 2009, the country's defence authority said Thursday.
 
 
Russia, Serbia are brotherly nations: Serbian president
Belgrade, Sep 19 (IANS) Brotherhood of Serbian and Russian nations is sealed by joint fight for freedom in the First World War, Serbian President Tomislav Nikolic said Thursday, Xinhua reported.
 
 
 

Latest from the Network

Parliamentarians urges EU to cut off IS resources
Brussels, Sep 19 (IANS) The European Parliament Thursday urged the European Union (EU) to enforce sanctions against business bodies related to the Islamic State (IS) in a bid to cut off its resources. The creation and...
Read more on Politics Balla
 
Sharon Osbourne slit her wrist to prove love
Los Angeles, Sep 19 (IANS) TV host Sharon Osbourne says, back in her rocker girl days, she slit her wrist to prove her love for Ozzy Osbourne. The 61-year-old star has revealed she was hospitalised after cutting...
Read more on Celebrity Balla
 
Ebola hit countries to lose $809 million by 2015: World Bank
This projected loss will be the medium-term impact of the outbreak of the Ebola Virus Disease (EVD) on these countries, Xinhua reported. A statement issued from the World Bank's Ghana office responsible for both...
Read more on Business Balla
 
Russian food ban deals blow to Austrian pork farmers
Vienna, Sep 19 (IANS) Russian import ban imposed in retaliation for Western sanctions over the Ukraine crisis brought down the price of pork in Austria, affecting the farmers in the country. Alarm is growing among...
Read more on Business Balla
 
Nigerian troops capture Boko Haram leader
Abuja, Sep 19 (IANS) Nigeria army have arrested a senior commander of the Boko Haram sect, which is blamed for killing hundreds of people since 2009, the country's defence authority said Thursday. The commander, whose...
Read more on Politics Balla
 
Iggy Azalea sues ex-boyfriend
Los Angeles, Sep 19 (IANS) Rapper Iggy Azalea has filed a lawsuit against her ex-boyfriend. Azalea is suing her ex-lover Maurice Williams for releasing music from her early career without her consent, reports...
Read more on Celebrity Balla
 
Will Smith and Jada Pinkett Smith have garden dates
Will Smith and Jada Pinkett Smith prefer to have date nights at home. The couple, who got married in 1997, believe it's important to spend some time alone with one another in order to keep their romance alive, but they...
Read more on Celebrity Balla
 
Kylie Jenner 'living in shadows' of sister Kendall
Kylie Jenner reportedly feels she's ''living in the shadows'' of her sister Kendall. The 17-year-old star is allegedly starting to feel left out following her older sibling's recent modeling success and believes she's...
Read more on Celebrity Balla
 
Kendall Jenner 'bullied' at NYFW
Kendall Jenner was allegedly ''bullied'' by fellow models at New York Fashion Week. The 18-year-old star was reportedly targeted by other runway professionals at the glamorous event last week as they were jealous of...
Read more on Celebrity Balla
 
Chris Brown will always remain friends with Rihann
Chris Brown believes he'll always remain ''great'' friends with Rihanna. The 25-year-old singer was sentenced to six months community service and placed on probation for five years for assaulting his former girlfriend...
Read more on Celebrity Balla