The U.S. Attorney’s Office for the Southern District of New York just released their press statement on the eleven-year prison sentence handed down to former Galleon Group head Raj Rajaratnam for charges of Insider Trading. They obviously take no pride in this kind of thing.
It’s not like they care about precedent, or anything:
- Sub-headline: “Rajaratnam Receives Longest Prison Term In History For Insider Trading.“
- First sentence: “…his involvement in the largest hedge fund insider trading scheme in history.”
- End of first paragraph: “It is the longest sentence to be imposed forinsider trading in history.“
They just take it one ball game at a time. Also, from the press release:
“Two years ago, Raj Rajaratnam stood at the summit of Wall Street, commanding his own financial empire. Then he was arrested, tried, and convicted by a jury. Mr. Rajaratnam stood convicted 14 times over of felonies, his empire exposed as a web of fraud and corruption that entangled many. Today, Mr.Rajaratnam stood once more and faced justice which was meted out to him. It is a sad conclusion to what once seemed to be a glittering story. We can only hope that this case will be the wake-up call we said it should be when Mr. Rajaratnam was arrested. Privileged professionals do not get a free pass to pursue profit through corrupt means. The message is the same for everyone no matter who you are or how much money you have — obey the law or face the fate of those who don’t.”
Has someone seen The Dark Knight one too many times? Either way, yes, we get it: Raj Raj is going to jail for $64M worth of Insider Trading. Mr. Bharara has yet to get around to that whole Abacus Deal that net John Paulson’s hedge fund $1B (and Goldman Sachs $15M in fees with an $840.1M turnaround) after he hand-picked securities designed for him to bet against as failures without the knowledge of investors on the other side of the deal, but surely, that’s on the way.*
[*The technical implication of which, of course, is "never happening," because Goldman got slapped on the wrist with a $550M bar tab.]
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