Former GM Board Member Charged with Insider Trading
Federal regulators have charged Rajat Gupta, a former Goldman Sachs board member, with insider trading. The SEC said he gave confidential information to Raj Rajaratnam. Followers of the 411 know that Rajarantnam is the founder of the Galleon Group hedge fund, and is a key figure in the on-going, widespread investigation into insider trading. In this instance, Gupta supposedly told Rajarantnam that investing guru Warren Buffett was going to invest $5 billion in Goldman Sachs before the news was publicly announced. That deal happened at the height of the financial crisis and generated big headlines. Gupta's attorney told the Associated Press that the allegations are "totally baseless."
