Rajat K. Gupta, a former Goldman Sachs director and one-time board member of Russia’s largest bank Sberbank, surrendered to the FBI Wednesday on criminal charges of leaking confidential information, The Wall Street Journal reported.
The 62-year-old has been charged with leaking inside trading information to Galleon Group hedge fund founder Raj Rajaratnam, who earlier this month was sentenced to 11 years in prison.
Prosecutors and the Securities and Exchange Commission (CEC) have said Gupta gave Rajaratnam details he had learned at Goldman board meetings in 2008 about a $5-billion investment in the bank by Warren Buffett’s Berkshire Hathaway Inc. and about Goldman’s first ever quarterly loss.
Goldman declined to comment. A spokesman for Proctor Gamble also declined to comment.