Yesterday, Judge Jed S. Rakoff entered a Consent Order and Judgment against Anil Kumar in the SEC’s settlement with him in the Galleon matter. Kumar was a friend of co-defendant Raj Rajaratnam, as well as a Galleon investor and a director at the global consulting firm McKinsey & Co.
The SEC alleged that Kumar acquired material non-public information while working as a McKinsey consultant and passed that information to Rajaratnam, who traded on it. The order requires Kumar to pay disgorgement in the amount of $2.6 million, plus prejudgment interest in the amount of $190,621, for a total of $2,790,621.
The SEC stated that Kumar has agreed to cooperate with the agency in connection with the ongoing case and related investigations.