Rajat Gupta Gets 2 Years For Hedge Fund Insider Trading

New York (HedgeCo.Net) –  Rajat Gupta, a former member of the Board of Directors at Goldman Sachs, received a prison sentence of 2 years in federal prison by U.S. District Judge Jed Rakoff.

“He is a good man,” the Judge said, according to the New York Times. “But the history of this country and the history of the world is full of examples of good men who did bad things.”

Gupta was found guilty on June 18th 2012 by a jury in Manhattan federal court. He was accused of conspiracy and securities fraud crimes stemming from his involvement in an insider trading scheme with his business partner and friend, Raj Rajaratnam, the founder and former head of the Galleon Group hedge fund.

Gupta’s lawyers had asked for leniency, seeking probation and community service, proposing that he work with needy children in New York or the poor in Rwanda. The option was rejected.

Alex Akesson
Editor for HedgeCo.net
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