Goldman Director, Ex-Galleon Trader Testify In Gupta Case

May 29 2012 | 1:16pm ET

A Goldman Sachs director and a former Galleon Group trader took the stand Friday at Rajat Gupta's insider-trading trial during a shortened, plodding day of testimony frequently punctuated by breaks in the action.

William George, the former Medtronic CEO who has sat on Goldman's board for a decade, testified about several 2008 board meetings after which, prosecutors say, Gupta called Galleon founder Raj Rajaratnam. George also discussed a 2007 offer from Gupta to invest in a new private equity fund he co-founded with Rajaratnam, who was convicted of insider-trading last year.

George said he decided not to invest in New Silk Route.

Following George on the stand was Michael Cardillo, a former Galleon trader and cooperating witness in the case against Rajaratnam. Cardillo, who has pleaded guilty to insider-trading, discussed trades of Procter & Gamble shares he made. Gupta sat on the Procter board.

In one instance, Cardillo said that Rajaratnam's brother, R.K., told him and another Galleon colleague that Rajaratnam's friend on the Procter board was telling him that the company was about to announce a drop in sales growth. Cardillo told the jury, "I remember making a lot of money" on that trade.

The trial resumed today.


In Depth

Q&A: Executive Recruiter Talks Hedge Fund Closures, Hiring Trends

Dec 19 2014 | 6:58am ET

This year, hedge funds have been closing at a rate not seen since the financial...

Lifestyle

Cooper-Hohn Won't Contest Divorce Settlement

Dec 18 2014 | 9:51am ET

The ex-wife of hedge fund billionaire Christopher Hohn will not contest a divorce...

Guest Contributor

Alternative Investment Funds Face A Communications Imperative

Dec 19 2014 | 6:10am ET

A handful of the top alternative investment firms on both sides of the Atlantic...

 

Sponsored Content

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

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

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.