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Ex-Goldman director jailed for insider dealing

Published on Oct 25, 2012 6:09 AM
Rajat Gupta, former Goldman Sachs Inc. director and former senior partner at McKinsey & Co., exits Federal court after being sentenced to two years in prison on October 24, 2012 in New York City. -- PHOTO: AFP

NEW YORK (AFP) - Former Goldman Sachs board member Rajat Gupta, a pillar of the New York financial establishment, was sentenced to two years in jail and fined US$5 million (S$6.1 million) for insider trading on Wednesday.

United States (US) District Judge Jed Rakoff gave a much more lenient sentence than the 10-year stretch requested by government prosecutors, although he rejected a defence request for a community service sentence.

Gupta, who was ordered to turn himself in on Dec 11, was solemn, but showed no emotion as he heard his fate.

Judge Rakoff said Gupta, a major philanthropist who has been a leader in fighting malaria in Africa and in helping disadvantaged youths, "deserves credit."

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