Photo: Shankar2001 · CC BY-SA 4.0 · Wikimedia Commons

Born in Sri Lanka · Nationalities Indian, American — Hedge funds / insider trading / Galleon Group / criminal justice / SEC

Raj Rajaratnam

Business and billionaires

Documented profile covering 10 controversies, including “July 2021: permanent ban from association with investment advisers” and “2013–2014: appeals concerning wiretaps and jury instructions fail”.

Are you concerned? Right of reply

Profile No. 1981 · Updated on 12 October 2026

10Documented controversies

12Sources

1 followed by a conviction

§ Legal statuses reflect the documented sources as of the date shown; they replace neither court decisions nor the presumption of innocence. Counts are not a rating. Methodology

I. Documented controversies

2 July 2021

July 2021: permanent ban from association with investment advisers

Civil / administrative proceedings

Following his release from prison, the SEC initiated administrative proceedings based on his conviction and accepted his settlement offer. The 2021 order permanently bars him from association with an investment adviser, subject to statutory regulatory procedures.

State of the evidence: Documented
Attribution: Accused

Sources · 1

[1]
U.S. Securities and Exchange CommissionIn the Matter of Raj Rajaratnam — Advisers Act Release No. 5764Regulatory authorityVery high reliability

Last verified: 14 September 2026

Add to this entry

24 June 2013–16 June 2014

2013–2014: appeals concerning wiretaps and jury instructions fail

Civil / administrative proceedings

The Second Circuit upheld the conviction in 2013, rejecting, among other arguments, efforts to suppress wiretap evidence and challenges to jury instructions on the use of inside information. The Supreme Court denied certiorari in June 2014.

State of the evidence: Documented

Sources · 2

[1]
U.S. Court of Appeals for the Second Circuit via JustiaUnited States v. Rajaratnam, No. 11-4416 (2d Cir. 2013)Court decisionHigh reliability
[2]
SCOTUSblogRajaratnam v. United States (13-1001)Court recordHigh reliability

Last verified: 14 September 2026

Add to this entry

Case · 5 documented stages

May 2011: convicted on all fourteen conspiracy and securities fraud counts

Conviction

11 May 2011

May 2011: convicted on all fourteen conspiracy and securities fraud counts

Conviction

Following a trial relying particularly on numerous telephone recordings, Rajaratnam was convicted on all fourteen counts: five counts of conspiracy to commit securities fraud and nine counts of securities fraud.

Attribution: Accused

Sources · 1

[1]
U.S. Department of Justice — Southern District of New York (archive)Rajaratnam, Raj VerdictProsecutor's statementVery high reliability

Last verified: 14 September 2026

Add to this entry

13 October 2011

October 2011: eleven years in prison, $53.8 million forfeiture and $10 million fine

Conviction

The federal court sentenced Rajaratnam to eleven years in prison, two years of supervised release, forfeiture of $53,816,434 and a $10 million fine. The court estimated that his illegal trades had generated well over $50 million.

State of the evidence: Documented
Legal status — source text: 11-year sentence, $53.8 million forfeiture and $10 million fine
Attribution: Accused

Sources · 1

[1]
U.S. Department of Justice — Southern District of New York (archive)Rajaratnam, Raj SentencingProsecutor's statementVery high reliability

Last verified: 14 September 2026

Add to this entry

2003–October 2009

2003–2009: systematic insider trading network centred on Galleon Management

Conviction

Rajaratnam used a network of insiders and associates at companies, consultancies and funds to obtain non-public information concerning financial results, acquisitions and transactions, and then traded through Galleon. The cases involved Goldman Sachs, Intel, IBM, McKinsey, Akamai, AMD, Polycom, Hilton and other companies.

State of the evidence: Established by a court
Attribution: Directly implicated

Sources · 2

[1]
U.S. Securities and Exchange CommissionSEC Charges Billionaire Hedge Fund Manager Raj Rajaratnam with Insider TradingOfficial statementVery high reliability
[2]
U.S. Department of Justice — Southern District of New York (archive)Rajaratnam, Raj VerdictProsecutor's statementVery high reliability

Last verified: 14 September 2026

Add to this entry

2004–2009

2004–2009: nearly $2 million paid to Anil Kumar for McKinsey information

Conviction

Anil Kumar, a senior partner at McKinsey, provided Rajaratnam with confidential client information, including on AMD, ATI, eBay and strategic transactions. The DOJ established that Rajaratnam had paid Kumar nearly $2 million in return.

Attribution: Directly implicated

Sources · 2

[1]
U.S. Department of Justice — Southern District of New York (archive)Former McKinsey Senior Partner Anil Kumar Sentenced in Manhattan Federal Court for Illegal Insider TradingProsecutor's statementVery high reliability
[2]
U.S. Department of Justice — Southern District of New York (archive)Rajaratnam et al. Superseding IndictmentOfficial documentVery high reliability

Last verified: 14 September 2026

Add to this entry

April 2007–2008

2007–2008: confidential Intel/Clearwire information received from Rajiv Goel and illicit profits

Conviction

Rajiv Goel, then an Intel Capital executive, passed non-public information about Intel's results and a Clearwire transaction to Rajaratnam. Rajaratnam traded on the information; the DOJ stated that he made more than $2.4 million on Intel information and over $850,000 on Clearwire.

State of the evidence: Documented
Attribution: Directly implicated

Sources · 2

[1]
U.S. Department of Justice — Southern District of New York (archive)Former Intel Executive Rajiv Goel Sentenced in Manhattan Federal Court for Insider TradingProsecutor's statementVery high reliability
[2]
U.S. Securities and Exchange CommissionSEC Charges Billionaire Hedge Fund Manager Raj Rajaratnam with Insider TradingOfficial statementVery high reliability

Last verified: 14 September 2026

Add to this entry

8 November 2011

November 2011: record $92.8 million SEC civil penalty

Civil / administrative proceedings

A civil judgment imposed a penalty of $92,805,705 on Rajaratnam, then the highest ever against an individual in an SEC insider trading case. Including criminal sanctions, the SEC estimated total monetary sanctions at more than $156.6 million.

State of the evidence: Documented
Legal status — source text: $92,805,705 civil penalty and permanent injunction
Attribution: Accused

Sources · 1

[1]
U.S. Securities and Exchange CommissionSEC Obtains Record $92.8 Million Penalty Against Raj RajaratnamOfficial statementVery high reliability

Last verified: 14 September 2026

Add to this entry

2008–2009

2008–2009: Rajat Gupta's information on Goldman Sachs, Berkshire Hathaway and P&G

Civil / administrative proceedings

Rajat Gupta passed Rajaratnam confidential information learned as a Goldman Sachs director, including Berkshire Hathaway's $5 billion investment and non-public financial results. The SEC also described a tip about Procter & Gamble's results.

State of the evidence: Established by a court
Attribution: Directly implicated

Sources · 1

[1]
U.S. Securities and Exchange CommissionSEC Obtains Final Judgment on Consent as to Raj Rajaratnam — Gupta tipping caseRegulatory authorityVery high reliability

Last verified: 14 September 2026

Add to this entry

March–August 2008

2008: passes insider information on Clearwire and AMD to brother Rengan

Acquitted / conviction overturned — against Rengan Rajaratnam

Protagonist not prosecuted — these proceedings are not counted in their formal charges or convictions.

Recordings and the federal case against Rengan Rajaratnam describe Raj passing his brother non-public information about Clearwire and AMD after receiving it, notably from Rajiv Goel and Anil Kumar. The associated trades generated substantial profits.

Attribution: Family member
Person targeted by the proceedings: Rengan Rajaratnam
Role of the person profiled: Protagonist not prosecuted

Sources · 1

[1]
U.S. Department of Justice — Southern District of New YorkInsider Trading Charges Against Former Galleon Portfolio Manager Rengan RajaratnamProsecutor's statementVery high reliability

Last verified: 14 September 2026

Add to this entry

II. Constellation of documented links

Linked profile (portrait or initials) — click to open it
Line width: number of documented references
Hover over or tap a line: controversies and sources

Two profiles are linked when a documented controversy of one names the other. The link points to that controversy and its sources; it does not indicate a personal relationship.

List of documented links (5)

III. Has something changed?

A new court decision, a missing source, a mistake? Tell us what should be updated: every request is read by the editorial team.

Support the archive

Controversia checks and updates its profiles independently. Support is optional and has no effect on the content of profiles.

Donate