In 2009 Raj Rajaratnam was the richest Sri Lankan-born individual in the world.
Raj Rajaratnam (born 15 June, 1957) is an American former hedge fund manager and founder of the Galleon Group, a New York-based hedge fund management firm.On October 16, 2009, he was arrested by the FBI on allegations of insider trading,
which also caused the Galleon Group to close.He stood trial in U.S. v Rajaratnam (09 Cr. 01184) in the United States District Court for the Southern District of New York, and on May 11, 2011 was found guilty on all 14 counts of conspiracy and securities fraud.On October 13, 2011,
Rajaratnam was sentenced to 11 years in prisonand fined with a civil penalty of $92.8 million in November 2011.
Born: 15 June, 1957
Ethnicity: Sri Lankan Tamilan
Occupation: Hedge fund manager
Net worth: Unknown (formerly peaked at US$1.8 billion)
Background and career
Rajaratnam, an ethnic Sri Lankan Tamil was born in Colombo in the Dominion of Ceylon, present-day Sri Lanka. His father was the head of the Singer Sewing Machine Co. in South Asia.According to the newspaper The Island, he attended S. Thomas' College, Mount Lavinia, though other sources say he attended S. Thomas' Preparatory School, Kollupitiya.Rajaratnam’s family emigrated to England in 1971, "sensing that the [post-independence Sri Lankan ethnic] situation would get
Rajaratnam studied engineering at the University of Sussex and then earned an M.B.A. from Wharton School of the University of Pennsylvania in 1983. He is married with three children and maintains residences in Connecticut, New York, Georgetown (DC) and Florida.
According to Forbes magazine, Rajaratnam is a self-made billionaire hedge fund manager.He was the 236th richest American in 2009, with an estimated net worth of $1.8 billion.He was the 262nd richest American in 2008, with an estimated net worth of $1.5 billion. In 2009 he was the richest Sri Lankan-born individual in the world.
Rajaratnam started his career as a lending officer at Chase Manhattan Bank where he made loans to high-tech companies. He joined the investment banking boutique Needham & Co. as an analyst in 1985, where his focus was on the electronics industry. He became the head of research in 1987 and the president in 1991, at the age of 34.At the company's behest, he started a hedge fund – the Needham Emerging Growth Partnership – in March 1992, which he later bought and renamed
His hedge fund was valued at $3.7 billion in 2009, down from a peak of $7 billion in 2008. According to a 2009 investor letter his $1.2 billion Diversified Fund had a net annualized return of 22.3%. Rajaratnam has been featured among the elite US money managers in a book called The New Investment Superstars. Initially invested in technology stocks and healthcare companies, he says his best ideas came from frequent visits with companies and conversations with executives
who invest in his fund.
After his arrest, Galleon received requests from investors for the withdrawal of $1.3 billion, causing the fund to close.In a letter dated October 21, 2009, Rajaratnam informed his employees and investors that he intended to wind down all the hedge funds of the Galleon Group.Investors received their entire money back in January 2010, plus profits.
Wall Street (1987)
A young and impatient stockbroker is willing to do anything to get to the top,
including trading on illegal inside information...
Directed by Oliver Stone. Starring Charlie Sheen, Michael Douglas.