Former Goldman Sachs Group Inc. director Rajat Gupta has been fined 13.9 million dollars civil penalty for illegally passing corporate secrets to former hedge fund manager Raj Rajaratnam.
A top US regulator also banned the Indian American businessman from serving as an officer or director of a public company.
The U.S. Securities and Exchange Commission said the order was issued by U.S. District Judge Jed Rakoff in Manhattan, who was also overseeing Gupta's related criminal trial.
According to Fox News, Gupta, 64, is appealing against his conviction in June 2012 and two-year prison term for passing on confidential tips he learned at Goldman board meetings in the second half of 2008 to Rajaratnam, a former billionaire who ran Galleon Group.
The tips included news about Goldman's financial results and a crucial five billion dollars investment during the financial crisis by Warren Buffett's Berkshire Hathaway Inc, the report said.
Gary Naftalis, a lawyer for Gupta, declined to comment. A copy of Rakoff's order was not immediately available.
According to the report, Rajaratnam, serving an 11-year prison term, was the highest-ranking financial executive convicted in a multi-year federal crackdown on insider trading.
Gupta is the highest-ranking corporate executive convicted in that probe.
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