Things are not looking good for hedge-fund titan Raj Rajaratnam, if the NY Post report is to be believed.. A federal judge yesterday sentenced one of Rajaratnam’s former traders, Zvi Goffer, to 10 years in federal prison -- the exact low end asked for by prosecutors.
If the judge set to sentence Rajaratnam next month follows suit, the biggest fish caught in US Attorney Preet Bharara’s insider-trading probe is staring at a 20-year stretch in the pen.
Yesterday’s ruling will send a “strong signal” when it comes to Rajaratnam’s pending punishment, said Jonathan New, a white-collar lawyer with Baker Hostetler in New York. “It would be highly unlikely that Rajaratnam would get less,” said the former federal prosecutor.
Ex-hedge honcho Raj Rajaratnam, who is to be sentenced next month on his insidertrading conviction, got some bad news yesterdaywhen a judge agreed with prosecutors on the sentencing of a second Wall Street felon.
Goffer’s sentencing marked the first of the group who refused to plead guilty and took their cases to trial, which can lead to harsher sentences. Goffer was convicted in June of insider trading in four stocks. Prosecutors asked that Goffer be put away for between 10 years and 13 years. For Rajaratnam, the lower end of the range would still mean 20 years. Prosecutors are asking that he be locked up for up to 25 years when he is sentenced next month.
Rajaratnam’s lawyers are asking for “well below” the government’s recommendation, saying he will perish in prison....
Find out more at
http://www.nypost.com/p/news/business/raj_is_that_sweat_zmPCqjmuT8WfofAmeSTd6I
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