Former McKinsey director admits leaking “super confidential” deal to Rajaratnam

Wednesday, 16 March 2011 00:32 - - {{hitsCtrl.values.hits}}

NEW YORK: Former McKinsey director Anil Kumar told a jury on Monday that he provided confidential information to Galleon Group founder Raj Rajaratnam on a “super-confidential” deal involving the acquisition of ATI Technologies Inc by Advanced Micro Devices Inc (AMD).

“I told him that this was red hot,” Kumar said. “Please do keep this to yourself... Don’t let anyone know.” The central question of this insider trading case is whether the Sri Lankan born billionaire earned USD 45 million by using leaked confidential information.

His lawyers say that Rajaratnam conducted his business based on information that was already in the public domain and through research. India-American Kumar, who has already pleaded guilty said, that he received a USD 1 million “bonus” for the information he gave on the AMD-ATI deal.