Ex-Rajaratnam Friend Gets Probation

Sep 25 2012 | 12:37pm ET

The value of cooperating with prosecutors was demonstrated again yesterday, as a former friend of Galleon Group founder Raj Rajaratnam avoided prison for his crimes.

Former Intel Corp. employee Rajiv Goel was sentenced to two years' probation, the same sentence handed down to the two other key cooperators who helped send Rajaratnam to prison for 11 years. Prosecutors had pushed for a lenient punishment, lauding Goel's "extraordinary" cooperation.

"You showed good sense in deciding to cooperate," U.S. District Judge Barbara Jones said. "You have already been punished in the sense of shame you feel for your family and your having lost your career."

"I did think you showed your character in the extent of your cooperation," Jones continued. "I think you did go beyond and for that you deserve a departure of probation."

Goel, who had faced up to 25 years in prison, met Rajaratnam at business school in the 1980s, and became a close friend and business partners. The two families were close enough to vacation together.

Goel was earlier ordered to pay a $254,000 fine by the Securities and Exchange Commission. Jones ordered him to pay a further $10,000 fine and to forfeit $266,649.

"I am deeply ashamed for the mistakes that I have made," Goel said. "I apologize to all that have been hurt by my actions, and in particular my wife and children who have been devastated by the trauma and grief that my actions have caused them."


In Depth

Part II: Roubini Talks Risk, Recovery And The Threat Of A Triple Dip Recession

Oct 21 2014 | 12:41pm ET

In the second half of our interview with Nouriel Roubini, FINalternatives editor...

Lifestyle

Balyasny Pays Over $6M For Lakefront House

Oct 22 2014 | 10:29am ET

A venture headed by hedge fund manager Dmitry Balyasny just paid $6.2 million for...

Guest Contributor

Hedge Funds Weather A Data Management Perfect Storm

Oct 22 2014 | 12:28pm ET

From a regulatory standpoint, nearly every development since the crisis has placed...

 

Videos

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

October 2014 Cover

Demeter: Family affair

David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.

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.