Roomy Khan gets jail time
In the end, if you come across as a career criminal, you'll likely be dealt with more harshly by a judge. That's exactly what happened to Roomy Khan, who turned into a cooperating witness and a key figure in the case against Raj Rajaratnam, of Galleon Group.
Rajaratnam was convicted of insider trading and sent to prison for 11 years, one of the government's biggest victories. Khan was of significant value as a witness against another convicted insider trader as well. Despite her substantial value to prosecutors, she was sent to prison for one year.
The argument could be made that she is a criminal recidivist. She pleaded guilty in 2001 to wire fraud and was sentenced in 2002 to home detention after agreeing to cooperate with a federal probe of Rajaratnam in California. But she eventually started trading on inside information again, and she pleaded guilty again in 2009 to more serious charges that carried up to 20 years in prison.
Along the way, she was caught lying to FBI agents and to prosecutors, whom she was supposed to be helping. She also destroyed evidence and tipped off others who were under investigation. All that can't be forgotten. In the mind of the judge, it merited prison time, despite her teary pleas for leniency. She might have gotten off light. One can only hope that when she gets out she will not lapse back into criminal behavior.
- here's an article from Thomson Reuters News & Insight