Raj Rajaratnam Prison Sentence
Rajaratnam Gets Longest Prison Sentence for Insider Trading
Mr. Rajaratnam founded Galleon Group but was taken down by an insider trading investigation that revealed he netted more than $50 million from illegal insider information. Others convicted as part of the investigation received prison sentences ranging from several months to 10 years.
A former billionaire described by the government as "the modern face of illegal insider trading" was sentenced Thursday to 11 years in prison, the longest insider trading sentence ever but far short of the two decades sought by prosecutors.
Galleon Group founder Raj Rajaratnam also was fined $10 million and ordered to forfeit $53.8 million by U.S. District Judge Richard J. Holwell, who said he concluded that Rajaratnam made well over $50 million in profits from his illegal trades.
"His crimes and the scope of his crimes reflect a virus in our business culture that needs to be eradicated," Holwell said. "When the integrity of the marketplace is called into question, the public suffers." Source