Former Goldman Sachs director convicted in NYC

[June 16, 2012]  NEW YORK (AP) -- A former Goldman Sachs director accused of feeding confidential information to a corrupt hedge fund manager has been convicted of conspiracy and three counts of securities fraud.

A jury reached the verdict Friday in the Manhattan case against Rajat Gupta (rahj-AHT' GOOP'-tah).

He was acquitted on two of the five counts of securities fraud.

Gupta was charged last year in a far-reaching federal probe of alleged insider trading in the hedge fund industry. Prosecutors had accused him of giving his billionaire friend tips the friend used to gain an illegal advantage on massive trades for a hedge fund.

Gupta claimed all his business dealings were above board. His lawyers argued he was a victim of guilt by association with the hedge fund manager, who's now serving 11 years in prison.

[Associated Press]

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