Former Goldman director fined
July 18 , 2013
Rajat Gupta, former Goldman Sachs Group Inc. was banned from serving as an officer or director of a public company. He was also ordered to pay a civil penalty of $13.9 million for passing corporate secrets to Raj Rajaratnam, a former hedge fund manager.
Gupta is appealing his June 2012 conviction as well as his prison term for transferring confidential tips to the former billionaire, Rajaratnam. The tips were regarding the news about Goldman's financial results and an investment during a financial crisis. He remains free during his appeal.
Rajaratnam, who was the highest ranking financial executive is serving an 11-year long term. The federal appeals court in New York had rejected Rajaratnam's argument about the wiretap evidence being used improperly to convict him and Gupta in May argued regarding the evidence before the same court suggesting that it should have been excluded from his trial as well.