Gupta Sued Over Rajaratnam's Goldman Trades

Jun 7 2011 | 1:30pm ET

A former McKinsey & Co. chief and alleged Raj Rajaratnam tipster has been sued by a Goldman Sachs shareholder.

James Mercer's lawsuit seeks to recover "short-swing" profits Galleon Group founder Rajaratnam made trading Goldman shares. Rajaratnam was convicted last month of insider-trading, including in Goldman shares based on information he allegedly received from Gupta.

Gupta served on Goldman's board of directors. Prosecutors in the Galleon case presented evidence that he passed information about Berkshire Hathaway's planned investment in Goldman.

Gupta is also the subject of a pending Securities and Exchange Commission administrative action.

Mercer's "lawsuit is completely without merit, and we will vigorously defend against it," Gupta's lawyer, Gary Naftalis, said.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR