US court finds hedge fund founder guilty
Raj Rajaratnam, the founder of Galleon Group hedge fund, has been found guilty of 14 securities fraud and conspiracy charges by a federal court in New York City, marking a watershed victory for the US government’s newly aggressive prosecution of insider trading.
Rajaratnam will remain free on bail under house arrest with electronic surveillance until his sentencing on July 29, US District Judge Richard Holwell ruled after the jury delivered its verdict on Wednesday. He faces around two decades in prison.
The Sri Lankan-born Rajaratnam, the central figure in what the government has described as the biggest ever probe of hedge fund insider trading, sat expressionless between his lawyers while a court official read the verdict.
His chief lawyer, John Dowd, said that he would appeal the prosecution’s use of secretly-recorded phone calls. After a four-day mini-trial called a Franks hearing last October, the judge denied defence efforts to suppress the phone tap evidence.
Prosecutors made effective use of FBI wiretaps that recorded Rajaratnam talking to those the government alleged had given him illegal tips.
One of those alleged tipsters, Rajat Gupta, was a former board member at the powerful bank Goldman Sachs. Gupta alerted Rajaratnam to an impending $5 billion investment in Goldman Sachs at the height of the global financial crisis in September 2008, prosecutors said.
Rajaratnam’s trial began on March 8, five months after his arrest at his Manhattan apartment, and the jury deliberated 12 days before delivering its verdict. Rajaratnam did not testify in his own defence.
Under the law, Rajaratnam could face up to 25 years in prison, but prosecutors said they would seek 19 and a half.
US Attorney Preet Bharara, the chief federal prosecutor for Manhattan, noted in a statement that Rajaratnam is one of 35 people to be convicted of insider trading.
This’s the actual real Tamil nature.! They use all they know for destruction..!
Opportunitists who do the worst they can..! Thieves, cunning Robbers, Murderers..!
They should keep well under controled.
They should under go learning & practice of the Good Conduct to qualify to join with civilian socity.
You know what i mean, Tamil Chelvin…?!
You’re not peaceful or just people to live with civilians…!
Yes indeed, I agree with you absolutely my dear.
These Kalla T’s are parasites; they are weeds that should be eradicated mercilessly from society.
Amden, these are the reasons I am promoting the Mass Expatriation Solution that requires all Kalla T’s irrespective of who they are and where they live in our land to be sent back to where they came from, Big Mama Land.
Now that the Mafia Mama is sick in hospital in the US, it is time to visit Big Mama with a couple of briefcases full of greenbacks, and she will purr like a pussycat and say yes to everything.
These Kalla T’s who are parasites (and weeds) need to be eradicated from our pure Sinhala Buddhist land.
What we normally see in the Tamil move is real it’s thru they are delivering real cooler of the Tamil around the world there master of the mafia not a Italian
This burger should send life time for jail he funded LTTE to sweep Sinhalese and Muslim from northeast. When he invest in sri Lankan market our stupid politicos
Keep there mouth closed
Part of Raj Rajarathnam’s swindled money which was send to tople the SL Government during year 2008 Budget, that was to prevent the Victory of SL Government forces, is still with Kotte Kotiya Ravi Karunanayagam. This bastard (Kotte Kotiya) shoud be thrown to Nandikadal Lagoon with swindled LTTE money to have the final swim.
Ravi K has used that money to build a bus company in the North. So it is not a problem; Tamil money (stolen) to the Tamil area.