Rajaratnam Ordered to Pay $92.8M in SEC Case


Rajaratnam Ordered to Pay $92.8M Civil Penalty

FBN’s Adam Shapiro on Galleon Group Founder Raj Rajaratnam ordered to pay $92.8 million as a penalty for insider trading.

A federal judge ordered Raj Rajaratnam, the Galleon Group hedge fund founder convicted of insider trading, to pay a $92.8 million penalty in a related civil case brought by the U.S. Securities and Exchange Commission.

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The penalty was imposed by U.S. District Judge Jed Rakoff in Manhattan.

Rajaratnam was convicted in May of 14 counts of securities fraud and conspiracy in a separate criminal case. Rakoff's colleague, U.S. District Judge Richard Holwell, sentenced Rajaratnam last month to an 11-year prison term.