The case I found was called “Gupta Gets Two Years for Leaking Insider Tips”, and I found it in the Wall Street Journal. Rajat Gupta was the director of Goldman Sachs Group Inc. Goldman Sachs Group Inc. is a full service investment bank and security firm. Rajat Gupta was found guilty of leaking inside information to the outside, and was sentenced to two years in prison, and some pretty hefty fines.
Rajat Gupta was not the average fraud perpetrator he was total opposite at least from the articles description of him. The article states, “Mr. Gupta’s was a classic American success story. He grew up in New Delhi, excelling academically despite the death of both of his parents when he was in his teens and coming to the U.S. to attend Harvard Business School. In 1973, he joined McKinsey in New York and climbed the ranks there for two decades until he was elected managing director in 1994 at age 45, becoming the first Indian born chief of a U.S. multinational corporation.” (Rothfeld, 2012)
Rajat was the founder of the Indian School of Business in Hyderabad, chairman of the Global Fund to Fight AIDS, Tuberculosis, and Malaria. With Rajat being so successful, and so involved it was difficult to detect that he would commit this type of crime.
Opportunity is a major aspect when it comes to fraud, because without opportunity fraud would not happen as easily. The three elements of the opportunity triangle include: committing the fraud, concealed the fraud, and convert to personal gain. Rajat leaked insider information to Mr. Rajaratnam which is the crime that was committed. Rajat told Mr. Rajaratnam information right when he found out so it would not look suspicious, which was Rajat way of concealing the information. Converting the crime to personal gain was not part of this crime. Rajat did not use it for personal gain for himself, but he did give the information to a close friend for their personal gain.
The Essay on Computer Fraud Accessing Information Criminal
More definitions of computer fraud: any traditional crime that has acquired a new dimension or order of magnitude through the aid of a computer, and abuses that have come into being because of computers; o any financial dishonesty that takes place in a computer environment; o any threats to the computer itself, such as theft of hardware or software, sabotage and demands for ransom. The reason for ...
Rajat leaked the information as soon as he found out about it so Mr. Rajartnam could act fast. It states in the article, “ ….Mr. Gupta was guilty on three counts of securities fraud, and one count of conspiracy for giving Mr. Rajaratnam tips about Goldman during the financial crisis, sometimes just moments after he learned of them, including that Warren Buffet’s Berkshire Hathaway would invest $5 billion in the bank in 2008.” (Rothfeld, 2012) As you can see it was a crime of opportunity since he had the information.
Opportunity came knocking on Mr. Gupta’s door and I think that is why he leaked the information. Mr. Gupta obviously regretted his actions after the fact, and told the judge, “I lost my reputation that I built over a life time.” (Rothfeld, 2012) There was no information that I caught onto that could have stopped this crime from occurring.
When it comes to prevention I do not think there was anything the company could have done to prevent this crime from happening since Mr. Gupta was the director of the company.
Works Cited
Rothfeld, M. (2012, October 25).
Gupta Gets Two Years for Leaking Insider Tips. Retrieved from The Wall Street Journal .
