Gupta Won't Testify At Trial

Jun 11 2012 | 1:53am ET

Accused Raj Rajaratnam tipster Rajat Gupta's trial could end this week, but the defendant himself will not take the stand.

Just a day after indicating that the former McKinsey & Co. chief was "highly likely" to testify in his own defense against insider-trading charges, Gupta's top lawyer, Gary Naftalis, told U.S. District Judge Jed Rakoff that they had changed their mind.

"After substantial reflection and consideration, we have determined that Mr. Gupta will not be a witness on his own behalf in the defense case," Naftalis wrote on Saturday, a day after he and his colleagues launched their defense.

The prosecution, which alleges that Gupta passed confidential information about Goldman Sachs and Procter & Gamble—on whose boards he served—to Galleon founder and convicted insider-trader Rajaratnam, rested their case on Friday, following the conclusion of Naftalis' cross-examination of Goldman CEO Lloyd Blankfein. The lawyer showed Blankfein several pieces of evidence that could show that at least some of Gupta's alleged tips were already public knowledge.

Without Gupta, the defense case is expected to consist primarily of character witnesses. Closing arguments could come as soon as tomorrow.


In Depth

Malik: The Science of Deal Sourcing 201

Aug 27 2015 | 5:35pm ET

Deal sourcing is understandably a hot topic among private equity firms because it...

Lifestyle

Rolling Art Advisors Marketing Collectible Car Fund As Uncorrelated Alternative

Aug 27 2015 | 6:47pm ET

A new fund is trying to provide investors with greater access to an emerging asset...

Guest Contributor

Agecroft Partners: Hedge Fund Industry Assets to increase $250B by Summer 2016

Aug 11 2015 | 11:29am ET

Assets will continue to flow into the hedge fund industry despite long-standing...

 

Editor's Note