Jurors Indicate Tapes Damned Rajaratnam

May 12 2011 | 8:06pm ET

The jurors who convicted Galleon Group founder Raj Rajaratnam of insider trading did not say much after leaving the Manhattan courtroom yesterday. But what they did say vindicated prosecutors' faith in the power of wiretaps.

In their note to U.S. District Judge Richard Holwell announcing they had reached a verdict, the jury told the judge they did not want to speak to reporters after the verdict was announced, and Holwell instructed them not to discuss the verdict or their deliberations. Still, a few of the panel's members offered a few words to the voracious crowd of journalists as they beat a hasty retreat to the subway.

"There was just a lot of evidence," juror Leila Gorman Gonzalez told The Wall Street Journal. Another, Carmen Gomez, said that tapes showed Rajaratnam used "confidential information" in his trading.

Still, Gomez said, "it was a very difficult decision."

Gonzalez told the Journal that she was "relieved" that the nine-week trial was finally over.

An alternate juror, Philip Wedo, was more forthcoming, telling the Journal that he was surprised that the jury voted unanimously to convict on all 14 charges. Wedo said he thought there was "more wiggle room," but admitted that he wanted Rajaratnam to testify to "explain what we heard on the tapes," which he said also surprised him.

"I didn't expect them to be so boring," he explained.

It seems that the jury knew what they were going to do on Tuesday: At least one person in the courtroom noted that the panel avoided looking at Rajaratnam as they entered the courtroom that day, and five members took some group photos outside of the courthouse after the day's deliberations, including the foreman.


In Depth

Q&A: Neil Azous Talks Global Macro Investing

Nov 24 2014 | 12:41pm ET

Neil Azous is the founder and managing member of Rareview Macro, an advisory firm...

Lifestyle

Sass Program To See Brooklyn College Students Run Hedge Fund

Nov 26 2014 | 7:56am ET

They say you learn by doing, so the students at Brooklyn College will learn to run...

Guest Contributor

Why The Big Money Is Going To Europe

Nov 14 2014 | 6:03am ET

Peer-to-peer lending was invented with the individual investor in mind. But despite...

 

Sponsored Content

    For Hedge Funds, Mastering Data Is Key To Success

    Nov 4 2014 | 9:45am ET

    Data management is important to every business, but for hedge funds, it is critical. FINalternatives recently asked Peter Sanchez, CEO of Northern Trust Hedge Fund Services, how fund managers can deal with the demands of managing data while at the same time remain transparent and abide by operational best practices. Read more…

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

November 2014 Cover

Building a better market

Reg NMS created a huge bifurcation in equity markets and while much of what has followed has been positive, in terms of lower fees and greater liquidity, many traders would like to see the market come...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.