The US Attorney for the Southern District of New York said in October 2011 that Galleon founder Raj Rajaratnam was convicted on all 14 counts and sentenced to 11 years in prison for insider trading.

Why this label

The US Attorney release states that a jury convicted Rajaratnam on all 14 counts of conspiracy and securities fraud on 11 May 2011 after an eight week trial, and that he was sentenced to 11 years in prison, a US$10 million fine and forfeiture of US$53,816,434^S3. It names US District Judge Richard J. Holwell. The Second Circuit affirmed the conviction on 24 June 2013, writing that it affirmed the October 2011 judgment of conviction^S5. The procedural state is conviction, now final after the appeal. The record settles the counts, the sentence and the money figures.

Current procedural position

Convicted by jury on 11 May 2011, sentenced on 13 October 2011, conviction affirmed by the Second Circuit on 24 June 2013, final^S3S5.

Evidence score: 94 of 100

The score grades how well the record establishes this assessment. It is not a score of Galleon Group LLC. Score = source authority + directness + corroboration + procedural accuracy + currency + reproducibility.

Timeline

1. 11 May 2011Jury convicts Rajaratnam on all 14 counts^S3
2. 13 October 2011Sentenced to 11 years, US$10 million fine, US$53,816,434 forfeiture^S3
3. 24 June 2013Second Circuit affirms the conviction^S5
4. Summer 2019Released to home confinement^S6

Related cases

• United States v. Raj RajaratnamUS District Court for the Southern District of New York and US Court of Appeals for the Second Circuit. Criminal. Appeal docket 11-4416-cr.Stage: Final. Conviction affirmed on 24 June 2013^S5
  • 13 October 2011 Sentenced to 11 years, US$10 million fine, US$53,816,434 forfeiture^S3
  • 24 June 2013 Second Circuit affirms the conviction^S5

Responses

• Raj Rajaratnam, October 2009: At the time of the charges Rajaratnam said he was innocent, as reported by Bloomberg.^S7

Revision history

• 25 October 2026 Assessment first published with label Supported.

Have a record that changes this assessment? See corrections and responses.

Sources

1. S3Tier A Galleon Management Founder Raj Rajaratnam Sentenced in Manhattan Federal Court to 11 Years in Prison for Insider TradingUS Attorney's Office, Southern District of New York. Government press release. 13 October 2011.Supports the 11 May 2011 conviction on all 14 counts, the 11 year sentence, the US$10 million fine and the US$53,816,434 forfeiture. Names Judge Holwell.
2. S5Tier A United States v. RajaratnamUS Court of Appeals for the Second Circuit. Court judgment. 24 June 2013.Supports the affirmance of the conviction and the rejection of the wiretap challenge under the Franks framework. Read through a court report page.
3. S6Tier C Galleon's Raj Rajaratnam Is Released From Prison Two Years EarlyBloomberg. Press report. 6 September 2019.Supports the summer 2019 release to home confinement. Used for the current status of the sentence only.
4. S7Tier C Galleon said to have liquidated more than 90% of investmentsBusiness Standard (Bloomberg). Press report. 29 October 2009.Supports the October 2009 liquidation of Galleon's funds and the plan to return investor money, and reports Rajaratnam said he is innocent. Used for colour and the denial.

Other claims about Galleon Group LLC

• Supported90
  The SEC said in November 2011 that a federal court ordered Raj Rajaratnam to pay a US$92.8 million civil penalty in its insider trading case.
  Regulator statement, 8 November 20112 records citedMarket conduct
• Contradicted91
  On appeal Raj Rajaratnam argued that the FBI wiretaps used against him were unlawfully authorized and that his conviction should be reversed.
  Court filing, 24 June 20131 record citedMarket conduct
• Partly supported74
  The SEC said the US$92.8 million penalty against Raj Rajaratnam was the largest ever assessed against an individual in an SEC insider trading case.
  Regulator statement, 8 November 20111 record citedMarket conduct