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{{Infobox Person
{{Infobox Person
|name = Rajat Gupta
|name = Rajat Kumar Gupta
|birth_date = December 2, 1948
|birth_date = December 2, 1948
|birth_place = Kolkata, India
|birth_place = Kolkata, India
|charges = Securities fraud, Conspiracy
|charges = Securities fraud (3 counts), Conspiracy to commit securities fraud
|sentence = 2 years
|conviction_date = June 15, 2012
|facility = FMC Devens
|sentence = 2 years federal prison, 1 year supervised release, $5 million fine
|sentencing_date = October 24, 2012
|judge = Hon. Jed S. Rakoff
|case_number = 1:11-cr-00907 (S.D.N.Y.)
|facility = [[FMC_Devens_(medical_facility)|FMC Devens]]
|status = Released
|status = Released
}}
}}
'''Rajat Kumar Gupta''' (born December 2, 1948) is an Indian-American former business executive who served as Managing Director of McKinsey & Company and as a board member of Goldman Sachs and Procter & Gamble before being convicted of insider trading in 2012.<ref name="nyt-conviction">The New York Times, "Rajat Gupta Convicted of Insider Trading," June 15, 2012, https://www.nytimes.com/2012/06/16/business/rajat-gupta-convicted-of-insider-trading.html.</ref> Gupta was convicted of leaking confidential boardroom information to hedge fund manager Raj Rajaratnam in one of the highest-profile insider trading cases in American history. He was sentenced to two years in federal prison, which he served at [[FMC_Devens_(medical_facility)|Federal Medical Center Devens]] in Massachusetts.<ref name="wsj-sentence">The Wall Street Journal, "Ex-McKinsey Chief Gupta Gets Two Years for Insider Trading," October 24, 2012.</ref>
'''Rajat Kumar Gupta''' (born December 2, 1948) is an Indian-American former business executive. He ran McKinsey & Company for nine years and sat on the board of Goldman Sachs. In June 2012 a federal jury in Manhattan convicted him of one count of conspiracy and three counts of securities fraud.<ref name="npr-guilty">{{cite news |last=Memmott |first=Mark |title=Rajat Gupta Guilty In Insider Trading Case |url=https://www.npr.org/sections/thetwo-way/2012/06/15/155102003/rajat-gupta-guilty-in-insider-trading-case |work=NPR |date=2012-06-15 |access-date=2026-06-03}}</ref> The charges stemmed from confidential boardroom information he passed to hedge-fund manager Raj Rajaratnam, who ran the Galleon Group.


== Summary ==
Gupta was the first foreign-born managing director of McKinsey. He held that job from 1994 to 2003. He served on corporate boards at Goldman Sachs, Procter & Gamble, and American Airlines, and on philanthropic boards including the Bill & Melinda Gates Foundation. The government's case centered on a single phone call. In September 2008, seconds after a Goldman board meeting ended, Gupta called Rajaratnam. Galleon then bought Goldman stock minutes before the public learned that Warren Buffett's Berkshire Hathaway would invest $5 billion in the bank.<ref name="doj-sentence">{{cite web |title=Former Chairman Of Consulting Firm And Board Director, Rajat Gupta, Sentenced In Manhattan Federal Court To Two Years In Prison For Insider Trading |url=https://www.justice.gov/archive/usao/nys/pressreleases/October12/GuptaSentencing.php |publisher=U.S. Department of Justice |date=2012-10-24 |access-date=2026-06-03}}</ref>


Rajat Gupta rose from modest beginnings in India to become one of the most prominent business executives in the world, leading McKinsey & Company for three consecutive terms and serving on the boards of major corporations including Goldman Sachs and Procter & Gamble. His fall was dramatic: he was convicted of passing confidential information from Goldman Sachs board meetings to his friend Raj Rajaratnam, enabling Rajaratnam's hedge fund to make millions in illegal profits.<ref name="nyt-conviction" />
Judge Jed S. Rakoff sentenced Gupta on October 24, 2012, to two years in federal prison, one year of supervised release, and a $5 million fine.<ref name="doj-sentence" /> Gupta reported to Federal Medical Center Devens in Massachusetts in June 2014. He served about 19 months and left prison in early 2016. He has denied the charges since his arrest. His 2019 memoir, ''Mind Without Fear'', restates that position.<ref name="cnbc-innocent">{{cite news |title=Ex-Goldman director Rajat Gupta says he's innocent seven years after insider trading conviction |url=https://www.cnbc.com/2019/03/22/ex-goldman-director-rajat-gupta-says-hes-innocent-seven-years-after-insider-trading-conviction.html |work=CNBC |date=2019-03-22 |access-date=2026-06-03}}</ref>


Gupta's prosecution was part of the federal government's aggressive campaign against insider trading on Wall Street, which resulted in more than 80 convictions. His case demonstrated that even the most senior executives could be held accountable for securities violations, regardless of their reputation or social standing.<ref name="wsj-sentence" />
== Career ==


== Background ==
Gupta was born in Kolkata on December 2, 1948. His father was a journalist. His mother died when he was 16. His father died two years later. Gupta and his siblings were left without parents while he was still a teenager.<ref name="cnbc-innocent" />


Gupta was born on December 2, 1948, in Kolkata, India. Orphaned as a teenager when both his parents died, Gupta was raised by relatives. He earned an engineering degree from the Indian Institute of Technology Delhi and an MBA from Harvard Business School in 1973.<ref name="bio-gupta">Fortune, "The Rise and Fall of Rajat Gupta," October 2012.</ref>
He studied mechanical engineering at the Indian Institute of Technology Delhi. He then went to the United States and earned an MBA at Harvard Business School, where he graduated as a Baker Scholar.<ref name="cnbc-innocent" />


Gupta joined McKinsey & Company in 1973 and rose through the ranks to become the firm's Managing Director in 1994, a position he held for three consecutive terms until 2003—the maximum allowed under the firm's rules. He was the first non-American to lead McKinsey. After leaving McKinsey, Gupta joined the boards of several major corporations and founded various philanthropic initiatives focused on global health and education.<ref name="nyt-conviction" />
Gupta joined McKinsey & Company in 1973. He stayed at the firm for his entire consulting career. In 1994 the partnership elected him managing director, the firm's top job. He was the first person born outside the United States to hold it. He was re-elected twice and served the maximum of three terms, stepping down in 2003.<ref name="doj-sentence" />


== Indictment, Prosecution, and Sentencing ==
After leaving the managing director role, Gupta moved into board work and philanthropy. He joined the boards of Goldman Sachs in 2006 and Procter & Gamble. He also served at American Airlines and a number of nonprofits. His philanthropic work focused on global health and education. He sat on the boards of the Bill & Melinda Gates Foundation and the Global Fund to Fight AIDS, Tuberculosis and Malaria.<ref name="cnbc-innocent" />


=== The Insider Trading Scheme ===
Gupta knew Raj Rajaratnam through business. Rajaratnam founded Galleon Group and built it into one of the largest hedge funds in the country. Gupta put money into Galleon funds. The two men also worked together on an investment vehicle aimed at South Asia. That relationship became the basis of the case against him.<ref name="sec-charges">{{cite web |title=SEC Files Insider Trading Charges against Rajat Gupta |url=https://www.sec.gov/news/press/2011/2011-223.htm |publisher=U.S. Securities and Exchange Commission |date=2011-10-26 |access-date=2026-06-03}}</ref>


Prosecutors established that Gupta passed confidential information from Goldman Sachs board meetings to Raj Rajaratnam, the founder of the Galleon Group hedge fund and a longtime friend and business associate. The most significant leak occurred on September 23, 2008, during the height of the financial crisis, when Gupta called Rajaratnam within minutes of a Goldman board meeting at which Warren Buffett's $5 billion investment in Goldman was announced. Rajaratnam's fund purchased Goldman stock before the investment became public, generating quick profits.<ref name="doj-gupta">U.S. Department of Justice, "Rajat Gupta Convicted in Manhattan Federal Court," June 15, 2012.</ref>
== Insider Trading Case ==


Gupta also leaked information about Goldman's quarterly earnings and about discussions regarding a potential acquisition of Wachovia by Goldman during the financial crisis. The evidence against Gupta included wiretapped phone conversations and trading records showing suspicious trades immediately following board meetings.<ref name="nyt-conviction" />
The case grew out of the Galleon investigation. The FBI used wiretaps, which is rare in white-collar work. The recordings showed Rajaratnam taking inside information from sources across the economy. Rajaratnam was arrested in October 2009. He was later convicted and sentenced to 11 years in prison.<ref name="rajaratnam-cases">{{cite web |title=Raj Rajaratnam, Galleon Group, Anil Kumar, and Rajat Gupta insider trading cases |url=https://en.wikipedia.org/wiki/Raj_Rajaratnam,_Galleon_Group,_Anil_Kumar,_and_Rajat_Gupta_insider_trading_cases |publisher=Wikipedia |access-date=2026-06-03 }}</ref>


=== Trial and Conviction ===
The investigation kept expanding. Trading records pointed to Gupta as one of Rajaratnam's sources. The clearest example came on September 23, 2008. The Goldman board met by phone that afternoon to approve a $5 billion investment from Buffett's Berkshire Hathaway. The market was in the worst stretch of the financial crisis. Gupta was on the call. Within minutes of it ending, Galleon began buying Goldman shares. The trades came in just before the public announcement and turned a quick profit.<ref name="doj-sentence" />


Gupta was indicted in October 2011 on charges of securities fraud and conspiracy. His trial took place in May and June 2012 in U.S. District Court in Manhattan. The prosecution relied heavily on circumstantial evidence and wiretaps of Rajaratnam's phone conversations. On June 15, 2012, the jury convicted Gupta on three counts of securities fraud and one count of conspiracy, while acquitting him on two other securities fraud counts.<ref name="nyt-conviction" />
Prosecutors also pointed to Procter & Gamble. They said Gupta passed Rajaratnam confidential information about the company's quarterly results while serving on its board.<ref name="sec-charges" />


=== Sentencing ===
The SEC moved first through an administrative proceeding rather than a federal lawsuit, which was an unusual route for a case this size. Gupta fought that procedure. The SEC dropped it and refiled in federal court. On October 26, 2011, the agency charged Gupta with insider trading.<ref name="sec-charges" /> The same day, federal prosecutors in Manhattan obtained a criminal indictment. It charged five counts of securities fraud and one count of conspiracy.<ref name="doj-sentence" />


On October 24, 2012, U.S. District Judge Jed Rakoff sentenced Gupta to two years in federal prison, well below the 8 to 10 years sought by prosecutors. Judge Rakoff noted Gupta's lifetime of charitable work and the absence of evidence that he received direct financial benefit from the tips, though he emphasized that the crimes were serious and required prison time. Gupta was also fined $5 million.<ref name="wsj-sentence" />
Unlike the Rajaratnam case, the evidence against Gupta was circumstantial. There was no recording of Gupta handing over a tip. Prosecutors built the case on timing. They lined up the suspicious trades against the board meetings Gupta attended. A guilty verdict on that kind of evidence widened what the government could attempt in future insider-trading prosecutions.<ref name="npr-guilty" />


== Prison Experience ==
== Trial and Sentencing ==


Gupta reported to [[FMC_Devens_(medical_facility)|Federal Medical Center Devens]] in Ayer, Massachusetts, in June 2014 to begin serving his sentence. FMC Devens is a federal medical facility that houses inmates with medical needs as well as a general population. Gupta was released in March 2016 after serving approximately 19 months, followed by a period of [[Home_Confinement_and_Monitoring_Programs|home confinement]] and [[Supervised_Release|supervised release]].<ref name="release">Reuters, "Former Goldman Sachs director Gupta released from prison," March 2016.</ref>
Gupta's trial ran through May and June 2012 in the Southern District of New York. Judge Jed S. Rakoff presided. The prosecution showed the timing of Galleon's trades after Goldman board meetings. It played wiretapped calls in which Rajaratnam discussed information that seemed to come from inside the Goldman board. And it called Anil Kumar, a former McKinsey partner who had pleaded guilty and agreed to cooperate.<ref name="npr-guilty" />


== Post-Release Career ==
The defense made a motive argument. Gupta was not paid for any tip. He had lost money on his Galleon investments. His lawyers said a man in that position had no reason to break the law, and that the timing of the trades had innocent explanations.<ref name="cnbc-innocent" />


Following his release, Gupta has maintained a low public profile. He published a memoir, "Mind Without Fear," in 2019, in which he maintained his innocence and criticized the prosecution's tactics. He has continued philanthropic activities, particularly related to education in India.<ref name="memoir">Gupta, Rajat. "Mind Without Fear." Juggernaut Books, 2019.</ref>
The jury convicted on June 15, 2012. It found Gupta guilty of conspiracy and three counts of securities fraud. It acquitted him on two securities-fraud counts.<ref name="npr-guilty" />


== Public Statements and Positions ==
On October 24, 2012, Judge Rakoff sentenced Gupta to two years in federal prison, one year of supervised release, and a $5 million fine. The term ran below the federal sentencing guidelines. Rakoff cited Gupta's record of charitable work. Manhattan U.S. Attorney Preet Bharara said in a statement that Gupta "has now exchanged the lofty board room for the prospect of a lowly jail cell."<ref name="doj-sentence" />


Gupta has consistently maintained his innocence, arguing that the government's case was based on circumstantial evidence and that he never received any financial benefit from the alleged tips. At sentencing, he stated: "I have lost my reputation that I have built over a lifetime." His attorneys argued that his charitable work and service to society should mitigate his sentence.<ref name="wsj-sentence" />
The SEC pursued a separate financial penalty. In 2013 a court ordered Gupta to pay $13.9 million and barred him permanently from serving as an officer or director of a public company.<ref name="sec-penalty">{{cite web |title=SEC Obtains $13.9 Million Penalty Against Rajat Gupta |url=https://www.sec.gov/newsroom/press-releases/2013-128-sec-obtains-139-million-penalty-against-rajat-gupta |publisher=U.S. Securities and Exchange Commission |date=2013-07-17 |access-date=2026-06-03}}</ref>


In his memoir, Gupta wrote that he believes he was a victim of prosecutorial overreach and that the evidence against him was insufficient to prove criminal intent. He has criticized the use of wiretaps and circumstantial evidence in insider trading prosecutions.<ref name="memoir" />
== Incarceration and Release ==


== Terminology ==
Gupta appealed his conviction. The Second Circuit affirmed it. The Supreme Court declined to hear the case. His report date came in June 2014, when he surrendered to [[FMC_Devens_(medical_facility)|Federal Medical Center Devens]], a Bureau of Prisons facility in Ayer, Massachusetts, that includes a minimum-security camp.<ref name="rajaratnam-cases" />


* '''Insider Trading''': The illegal practice of trading securities based on material, nonpublic information obtained through a position of trust or confidence.
He served about 19 months. The Bureau of Prisons released him in early 2016 to home confinement at his Manhattan residence. The home-confinement period ended that March.<ref name="rajaratnam-cases" />


* '''Securities Fraud''': Criminal conduct involving deception in connection with the purchase or sale of securities.
By his own account, Gupta taught classes to other inmates during his time at Devens.<ref name="cnbc-innocent" /> The permanent SEC bar closed off any return to corporate board work. Since his release he has kept a low public profile.


* '''Wiretap''': Electronic surveillance of telephone or other communications, often used in securities fraud investigations.
In 2019 Gupta published a memoir, ''Mind Without Fear''. The book covers his childhood in India, his career at McKinsey, and the case. He maintains in it that he never tipped Rajaratnam. He has said he does not remember speaking to Rajaratnam after the September 2008 board meeting and that he never passed along the Buffett news.<ref name="cnbc-innocent" /> He has not acknowledged wrongdoing.


== See also ==
== Frequently Asked Questions ==
 
{{FAQSection/Start}}
* [[Prison_Consultants|Prison Consultants]]
{{FAQ|question=What was Rajat Gupta convicted of?|answer=A federal jury in Manhattan convicted Gupta on June 15, 2012, of one count of conspiracy and three counts of securities fraud. The charges came from confidential Goldman Sachs board information he passed to hedge-fund manager Raj Rajaratnam of the Galleon Group.}}
* [[FMC_Devens_(medical_facility)|FMC Devens]]
{{FAQ|question=How long was Rajat Gupta's sentence?|answer=Judge Jed S. Rakoff sentenced Gupta on October 24, 2012, to two years in federal prison, one year of supervised release, and a $5 million fine. He served about 19 months.}}
* [[Home_Confinement_and_Monitoring_Programs|Home Confinement]]
{{FAQ|question=What information did Rajat Gupta leak?|answer=The central charge involved a September 2008 call to Rajaratnam moments after a Goldman board meeting, before the public learned that Warren Buffett's Berkshire Hathaway would invest $5 billion in the bank. Prosecutors also charged him with passing confidential Procter & Gamble results.}}
{{FAQ|question=Where did Rajat Gupta serve his sentence?|answer=Gupta served his time at Federal Medical Center Devens in Ayer, Massachusetts, which includes a minimum-security camp. He surrendered in June 2014.}}
{{FAQ|question=When was Rajat Gupta released?|answer=The Bureau of Prisons released Gupta to home confinement in early 2016. The home-confinement period ended in March 2016.}}
{{FAQ|question=Does Rajat Gupta admit guilt?|answer=No. Gupta has denied the charges since his arrest. His 2019 memoir, Mind Without Fear, restates his claim of innocence. He has not acknowledged wrongdoing.}}
{{FAQ|question=Who was Raj Rajaratnam?|answer=Raj Rajaratnam founded the Galleon Group hedge fund. He was convicted of insider trading in 2011 and sentenced to 11 years in prison, the longest insider-trading sentence at the time. Gupta was identified as one of his sources.}}
{{FAQSection/End}}


== References ==
== References ==
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<references />
<references />


{{DEFAULTSORT:Gupta, Rajat}}
[[Category:High-Profile_Federal_Offenders]]
[[Category:High-Profile_Federal_Offenders]]
[[Category:Securities_Fraud]]
[[Category:White_Collar_Crime]]
[[Category:White_Collar_Crime]]
[[Category:Released]]
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Latest revision as of 13:36, 3 June 2026

Rajat Kumar Gupta
Born: December 2, 1948
Kolkata, India
Charges: Securities fraud (3 counts), Conspiracy to commit securities fraud
Sentence: 2 years federal prison, 1 year supervised release, $5 million fine
Facility: FMC Devens
Status: Released

Rajat Kumar Gupta (born December 2, 1948) is an Indian-American former business executive. He ran McKinsey & Company for nine years and sat on the board of Goldman Sachs. In June 2012 a federal jury in Manhattan convicted him of one count of conspiracy and three counts of securities fraud.[1] The charges stemmed from confidential boardroom information he passed to hedge-fund manager Raj Rajaratnam, who ran the Galleon Group.

Gupta was the first foreign-born managing director of McKinsey. He held that job from 1994 to 2003. He served on corporate boards at Goldman Sachs, Procter & Gamble, and American Airlines, and on philanthropic boards including the Bill & Melinda Gates Foundation. The government's case centered on a single phone call. In September 2008, seconds after a Goldman board meeting ended, Gupta called Rajaratnam. Galleon then bought Goldman stock minutes before the public learned that Warren Buffett's Berkshire Hathaway would invest $5 billion in the bank.[2]

Judge Jed S. Rakoff sentenced Gupta on October 24, 2012, to two years in federal prison, one year of supervised release, and a $5 million fine.[2] Gupta reported to Federal Medical Center Devens in Massachusetts in June 2014. He served about 19 months and left prison in early 2016. He has denied the charges since his arrest. His 2019 memoir, Mind Without Fear, restates that position.[3]

Career

Gupta was born in Kolkata on December 2, 1948. His father was a journalist. His mother died when he was 16. His father died two years later. Gupta and his siblings were left without parents while he was still a teenager.[3]

He studied mechanical engineering at the Indian Institute of Technology Delhi. He then went to the United States and earned an MBA at Harvard Business School, where he graduated as a Baker Scholar.[3]

Gupta joined McKinsey & Company in 1973. He stayed at the firm for his entire consulting career. In 1994 the partnership elected him managing director, the firm's top job. He was the first person born outside the United States to hold it. He was re-elected twice and served the maximum of three terms, stepping down in 2003.[2]

After leaving the managing director role, Gupta moved into board work and philanthropy. He joined the boards of Goldman Sachs in 2006 and Procter & Gamble. He also served at American Airlines and a number of nonprofits. His philanthropic work focused on global health and education. He sat on the boards of the Bill & Melinda Gates Foundation and the Global Fund to Fight AIDS, Tuberculosis and Malaria.[3]

Gupta knew Raj Rajaratnam through business. Rajaratnam founded Galleon Group and built it into one of the largest hedge funds in the country. Gupta put money into Galleon funds. The two men also worked together on an investment vehicle aimed at South Asia. That relationship became the basis of the case against him.[4]

Insider Trading Case

The case grew out of the Galleon investigation. The FBI used wiretaps, which is rare in white-collar work. The recordings showed Rajaratnam taking inside information from sources across the economy. Rajaratnam was arrested in October 2009. He was later convicted and sentenced to 11 years in prison.[5]

The investigation kept expanding. Trading records pointed to Gupta as one of Rajaratnam's sources. The clearest example came on September 23, 2008. The Goldman board met by phone that afternoon to approve a $5 billion investment from Buffett's Berkshire Hathaway. The market was in the worst stretch of the financial crisis. Gupta was on the call. Within minutes of it ending, Galleon began buying Goldman shares. The trades came in just before the public announcement and turned a quick profit.[2]

Prosecutors also pointed to Procter & Gamble. They said Gupta passed Rajaratnam confidential information about the company's quarterly results while serving on its board.[4]

The SEC moved first through an administrative proceeding rather than a federal lawsuit, which was an unusual route for a case this size. Gupta fought that procedure. The SEC dropped it and refiled in federal court. On October 26, 2011, the agency charged Gupta with insider trading.[4] The same day, federal prosecutors in Manhattan obtained a criminal indictment. It charged five counts of securities fraud and one count of conspiracy.[2]

Unlike the Rajaratnam case, the evidence against Gupta was circumstantial. There was no recording of Gupta handing over a tip. Prosecutors built the case on timing. They lined up the suspicious trades against the board meetings Gupta attended. A guilty verdict on that kind of evidence widened what the government could attempt in future insider-trading prosecutions.[1]

Trial and Sentencing

Gupta's trial ran through May and June 2012 in the Southern District of New York. Judge Jed S. Rakoff presided. The prosecution showed the timing of Galleon's trades after Goldman board meetings. It played wiretapped calls in which Rajaratnam discussed information that seemed to come from inside the Goldman board. And it called Anil Kumar, a former McKinsey partner who had pleaded guilty and agreed to cooperate.[1]

The defense made a motive argument. Gupta was not paid for any tip. He had lost money on his Galleon investments. His lawyers said a man in that position had no reason to break the law, and that the timing of the trades had innocent explanations.[3]

The jury convicted on June 15, 2012. It found Gupta guilty of conspiracy and three counts of securities fraud. It acquitted him on two securities-fraud counts.[1]

On October 24, 2012, Judge Rakoff sentenced Gupta to two years in federal prison, one year of supervised release, and a $5 million fine. The term ran below the federal sentencing guidelines. Rakoff cited Gupta's record of charitable work. Manhattan U.S. Attorney Preet Bharara said in a statement that Gupta "has now exchanged the lofty board room for the prospect of a lowly jail cell."[2]

The SEC pursued a separate financial penalty. In 2013 a court ordered Gupta to pay $13.9 million and barred him permanently from serving as an officer or director of a public company.[6]

Incarceration and Release

Gupta appealed his conviction. The Second Circuit affirmed it. The Supreme Court declined to hear the case. His report date came in June 2014, when he surrendered to Federal Medical Center Devens, a Bureau of Prisons facility in Ayer, Massachusetts, that includes a minimum-security camp.[5]

He served about 19 months. The Bureau of Prisons released him in early 2016 to home confinement at his Manhattan residence. The home-confinement period ended that March.[5]

By his own account, Gupta taught classes to other inmates during his time at Devens.[3] The permanent SEC bar closed off any return to corporate board work. Since his release he has kept a low public profile.

In 2019 Gupta published a memoir, Mind Without Fear. The book covers his childhood in India, his career at McKinsey, and the case. He maintains in it that he never tipped Rajaratnam. He has said he does not remember speaking to Rajaratnam after the September 2008 board meeting and that he never passed along the Buffett news.[3] He has not acknowledged wrongdoing.

Frequently Asked Questions

Q: What was Rajat Gupta convicted of?

A federal jury in Manhattan convicted Gupta on June 15, 2012, of one count of conspiracy and three counts of securities fraud. The charges came from confidential Goldman Sachs board information he passed to hedge-fund manager Raj Rajaratnam of the Galleon Group.


Q: How long was Rajat Gupta's sentence?

Judge Jed S. Rakoff sentenced Gupta on October 24, 2012, to two years in federal prison, one year of supervised release, and a $5 million fine. He served about 19 months.


Q: What information did Rajat Gupta leak?

The central charge involved a September 2008 call to Rajaratnam moments after a Goldman board meeting, before the public learned that Warren Buffett's Berkshire Hathaway would invest $5 billion in the bank. Prosecutors also charged him with passing confidential Procter & Gamble results.


Q: Where did Rajat Gupta serve his sentence?

Gupta served his time at Federal Medical Center Devens in Ayer, Massachusetts, which includes a minimum-security camp. He surrendered in June 2014.


Q: When was Rajat Gupta released?

The Bureau of Prisons released Gupta to home confinement in early 2016. The home-confinement period ended in March 2016.


Q: Does Rajat Gupta admit guilt?

No. Gupta has denied the charges since his arrest. His 2019 memoir, Mind Without Fear, restates his claim of innocence. He has not acknowledged wrongdoing.


Q: Who was Raj Rajaratnam?

Raj Rajaratnam founded the Galleon Group hedge fund. He was convicted of insider trading in 2011 and sentenced to 11 years in prison, the longest insider-trading sentence at the time. Gupta was identified as one of his sources.


References

  1. ↑ 1.0 1.1 1.2 1.3 "Rajat Gupta Guilty In Insider Trading Case".Memmott, Mark.NPR.2012-06-15.Retrieved 2026-06-03.
  2. ↑ 2.0 2.1 2.2 2.3 2.4 2.5 "Former Chairman Of Consulting Firm And Board Director, Rajat Gupta, Sentenced In Manhattan Federal Court To Two Years In Prison For Insider Trading". U.S. Department of Justice. Retrieved 2026-06-03.
  3. ↑ 3.0 3.1 3.2 3.3 3.4 3.5 3.6 "Ex-Goldman director Rajat Gupta says he's innocent seven years after insider trading conviction".CNBC.2019-03-22.Retrieved 2026-06-03.
  4. ↑ 4.0 4.1 4.2 "SEC Files Insider Trading Charges against Rajat Gupta". U.S. Securities and Exchange Commission. Retrieved 2026-06-03.
  5. ↑ 5.0 5.1 5.2 "Raj Rajaratnam, Galleon Group, Anil Kumar, and Rajat Gupta insider trading cases". Wikipedia. Retrieved 2026-06-03.
  6. ↑ "SEC Obtains $13.9 Million Penalty Against Rajat Gupta". U.S. Securities and Exchange Commission. Retrieved 2026-06-03.


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