Gupta Found Guilty

Jun 15 2012 | 12:16pm ET

A federal jury in Manhattan has found former McKinsey & Co. senior partner Rajat Gupta guilty of insider trading.

Gupta was found guilty of securities fraud and conspiracy on Friday, the culmination of a trial that began May 21. He had been accused of leaking inside information to Galleon Group founder Raj Rajaratnam, himself serving an 11-year sentence for insider-trading crimes (a sentence he is appealing). Gupta faces a maximum sentence of 20 years for the securities fraud conviction while conspiracy carries a maximum prison sentence of five years.

Gupta, a former Goldman Sachs director, is the biggest fish caught to date in a crackdown on insider trading launched in October 2009 by the office of the Manhattan U.S. Attorney Preet Bharara and the Federal Bureau of Investigation. To date, cases have been brought against 66 traders and their sources.

Kolkata-born Gupta served on the boards of the Rockefeller Foundation and the Bill & Melinda Gates Foundation. He is also a co-founder of the Indian School of Business in Hyderabad.

 


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

DarcMatter: The Top Trends in Alternative Investments for 2017

Jan 13 2017 | 8:22pm ET

The $7 trillion alternative investments industry is poised for continued growth...

 

From the current issue of

The U.S. Commodity Futures Trading Commission (CFTC) ordered The Goldman Sachs Group Inc., and Goldman, Sachs & Co. to pay a $120 million penalty for attempted manipulation and false reporting of ISDAFIX Benchmark Rates, a global benchmark for interest rate products.