Rajat Gupta, the former Goldman Sachs Group Inc. (GS:US) director found guilty in an insider-trading probe, shouldn’t be allowed to delay going to prison while he appeals his conviction, U.S. prosecutors said.
U.S. District Judge Jed Rakoff in Manhattan last month sentenced Gupta to two years in prison, directing him to begin his term on Jan. 8 and rejecting his request to remain free pending appeal. Gupta then asked the U.S. Court of Appeals to postpone his surrender date. Prosecutors objected in a court filing yesterday.
Rakoff “correctly determined that Gupta had not identified a substantial issue of law or fact that would likely result in reversal of his conviction or a new trial,” prosecutors said in the filing. They said Rakoff didn’t abuse his discretion in admitting as evidence wiretapped recordings of Gupta speaking on telephone calls with Galleon Group LLC co-founder Raj Rajaratnam.
Gupta, 63, was convicted by a jury in June of one count of conspiracy and three counts of securities fraud. He was accused of passing illegal information about New York-based Goldman Sachs to Rajaratnam, his friend and business partner.
Rakoff said at sentencing that he would recommend to U.S. Bureau of Prisons officials that Gupta serve his term at the federal prison in Otisville, New York.
The case is U.S. v. Gupta, 12-4448, U.S. Court of Appeals for the Second Circuit (Manhattan).
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