Raj Rajaratnam

Manager

Birthday June 15, 1957

Birth Sign Gemini

Birthplace Colombo, Sri Lanka

Age 66 years old

Nationality Sri Lanka

#46873 Most Popular

1957

Rajakumaran Rajaratnam (born June 15, 1957) is a Sri Lankan-American former hedge fund manager and founder of the Galleon Group, a New York-based hedge fund management firm.

1971

Rajaratnam's family emigrated to England in 1971, concerned that the post-independence Sri Lankan ethnic violence against the Tamils would get more violent.

1983

He attended Dulwich College in London and later studied engineering at the University of Sussex, and then earned an M.B.A. from the Wharton School of the University of Pennsylvania in 1983.

Rajaratnam started his career as a lending officer at Chase Manhattan Bank where he specialized in business loans to technology companies.

1985

He joined the investment banking boutique Needham & Co. as an analyst in 1985, where he focused on the consumer electronics industry.

1987

He rapidly rose through the ranks, becoming the head of research in 1987 and the president in 1991, at the age of 34.

1992

At the company's behest, he started a hedge fund—the Needham Emerging Growth Partnership—in March 1992, which he later bought and renamed Galleon Group.

2004

He helped Sri Lankans recover after the 2004 tsunami.

Rajaratnam was in Sri Lanka when the 2004 Asian Tsunami hit and donated $5 million to for the construction of 400 new homes for the island's various ethnic groups - Sinhalese and Tamils.

Rajaratnam was also a contributor to various causes that promoted development in the Indian subcontinent and programs that benefited low income South Asian youth in the New York area.

Rajaratnam served on the board of the Harlem Children's Zone.

Rajaratnam contributed $3.5 million to the Tamils Rehabilitation Organisation (TRO).

TRO’s assets were subsequently frozen by the US Department of the Treasury due to its alleged close connections to the Liberation Tigers of Tamil Eelam (LTTE).

2006

TRO's offices were raided by the FBI in 2006 but the organization was never charged with any wrongdoing.

At the time of Rajaratnam’s contributions were made, the TRO was not outlawed by the U.S. nor Sri Lankan governments.

The chief of the investigations unit at the Sri Lankan central bank found that Rajaratnam's donations were made in good faith.

The Sri Lankan justice ministry has acknowledged and thanked Rajaratnam for the millions of dollars contributed to rehabilitating child soldiers conscripted by the LTTE.

Rajaratnam had pledged a $1 million to rehabilitate former LTTE combatants.

According to the Federal Election Commission, Rajaratnam has made over $118,000 in political contributions in five years.

He contributed to the Democratic National Committee and various campaigns on behalf of Barack Obama, Hillary Clinton, Chuck Schumer, and Bob Menendez.

2009

On October 16, 2009, he was arrested by the FBI for insider trading, which also caused the Galleon Group to fold.

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 percent.

Rajaratnam has been featured among the elite US money managers in a book called The New Investment Superstars. Initially, he primarily invested in technology and healthcare companies.

He said that his best ideas came from frequent visits with the companies in which he invested and from conversations with executives who invested in his fund.

After Rajaratnam's arrest, Galleon received requests from its investors for the withdrawal of $1.3 billion, which caused 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 funds of the Galleon Group.

On Friday October 16, 2009, Raj Rajaratnam was arrested by the FBI for insider trading in the stock of several publicly traded companies.

2010

Investors received the full balance of their initial investments, plus profits, in January 2010.

Rajaratnam alongside other private donors, partnered with the US State Department to fund mine detection dogs for humanitarian demining war-affected areas in Sri Lanka.

He recalled his visits to the mine-impacted areas of Sri Lanka and underscored the humanitarian toll that mines have taken.

Recalling his encounter with a young child in Kilinochchi who had lost both legs to a land mine, Rajaratnam stated that this particular image that is etched in his memory "made it an easy decision to write the check."

2011

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 prison and fined a criminal and civil penalty of over $150 million combined.

Rajaratnam was incarcerated at Federal Medical Center, Devens in Ayer, Massachusetts, an administrative facility housing male offenders requiring specialized or long-term medical or mental health care.

2019

Rajaratnam was released to home confinement in his Upper East Side Manhattan apartment, located on Sutton Place, in the summer of 2019.

Rajaratnam being released after 7 1/2 years, published his memoir, Uneven Justice, detailing the events surrounding his insider trading conviction and the prosecutorial overreach his book supposedly proves led to it.

Rajaratnam is an ethnic Sri Lankan Tamil born in Colombo in what was then the Dominion of Ceylon (present-day Sri Lanka).

His wealthy father, J. M. Rajaratnam, was the head of the Singer Sewing Machine Co. in South Asia.

He attended S. Thomas' Preparatory School, Kollupitiya before his family migrated to England.