The presentation is about the fraud done by Rajat Gupta through insider trading.

1. RAJAT GUPTA
Presented By:
Shruti Gupta

2.  Rajat Gupta, corporate director at Goldman
Sachs (and once at Mckinsey).
 Found guilty of 3 securities frauds and of
relaying confidential Goldman Sachs
boardroom information to hedge fund titan
Rajaratnam at Galleon Group.
 Caught via government-placed wiretaps
listening to Rajaratnam and Gupta discussing
Warren Buffett's Berkshire Hathaway Inc.’s $5
billion investment and Goldman Sachs’s first
quarterly loss.
 Rajaratnam bought Goldman Sachs shares for
profit.
 Found guilty of 3 securities frauds and of
relaying confidential Goldman Sachs
boardroom information to hedge fund titan
Rajaratnam at Galleon Group.
 Faced 20 years for fraud charges, 5 for
conspiracy charge, but went for 2.

3.  Goldman Sachs is a leading investment banking and financial
consulting firm.
 Ranked 68 by Fortune 500.
 Other small sources constantly rate them high up.
 McKinsey and Co. is a leading senior management consulting firm.
 Ranked No. 1 under Vault’s consulting rankings for 2014.
 Manager in question has been on board of directors for both
companies, as well as The Bill and Melinda Gates Foundation,
American Airlines, and Proctor and Gamble.

4. Educational Background
 MECHANICAL ENGINEER IIT- DELHI (1971)
 MBA- HARVARD BUSINESS SCHOOL (1973)

6. Insider trading is the trading of
a corporation's stock or
other securities (e.g. bonds or stoc
k options) by individuals with
potential access to non-public
information about the company.

9. An unlucky man
Jun 14th 2012, 23:47 by T.E. | NEW YORK

11.  2 described court meetings in 2012 and 2014.
 Wiretaps reveal insider trading between Rajaratnam and
Gupta.
 Gupta is convicted.
 11 of the 12 jury members believe he is guilty, until evidence
convinces the 12th.
 Took only 10 hours, compared to Rajaratnam’s case taking
12 days.
 Gupta was put up as “free on bail” for a second count.
 He planned to appeal.

12.  Lawyers challenge conviction by mentioning a $10 million
fallout Gupta had with Rajaratnam.
 Lawyers also claim Rajaratnam never traded based on the
exchanged information.
 Prosecutors said Rajaratnam tipped Gupta off.
 Lawyers claim Gupta never benefitted or traded on any tip.
 Prosecutors pieced together phone calls and other exchanges
supported by testimonies that included Goldman Sachs CEO
Lloyd Blankfein.

13.  Rajat wanted new trail in 2014, but court rejected
it.
 Wiretaps are mentioned again, and lawyers say
what Rajaratnam says is “the self-serving hearsay
of a known fabulist.”
 Prosecutors claim it is non hearsay.
 Rajat was sentenced to 2 years, freedom pending
appeal.
 Appeal is rejected.