SEC v. Raj Rajaratnam

SEC v. Raj Rajaratnam was a significant insider trading case where Rajaratnam, a hedge fund manager, was accused of using confidential information to profit from stock trades. The U.S. Securities and Exchange Commission alleged that he received insider tips about companies like Goldman Sachs and Intel, enabling him to gain millions of dollars illegally. Rajaratnam was convicted in 2011 and sentenced to prison, highlighting the importance of fair trading practices and the serious consequences of violating securities laws. The case underscored the regulatory efforts to combat insider trading in the financial markets.