Indian-Americans Are On Both Sides Of Insider Trading Trial

Rajaratnam’s insider trading case is one of the largest hedge fund crackdown in US history, many (even Rajaratnam) are arguing that his colleague– Raj Gupta, a former Goldman Sachs group director– did not actually make money off the trades at issue. Rajarathnam, a native of Sri Lanka, last week called upon the SEC to drop the charges against Gupta.  

Gupta, who was once believed to have an approximate net worth of about $100 million, was one of the most well connected executives in corporate America. After attending Harvard Business School he became internationally recognised as one of the first Indian-American to carve out a name for himself on Wall Street. 

Days before the federal watchdog charged Gupta, his buddy Rajaratnam allegedly asked the SEC to wait until after his own case was closed. Why? Because Rajaratnam believed the negative press would have an impact on his defence in court. 

Coincidentally, the man spearheading the government’s pursuit of these illegal insider-trading claims is Preet Bharara, another Indian-American. According to reports, he has pursued insider trading investigations that have lead to 46 people being charged and approximately 24 pleading guilty.

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