Rajat K Gupta, the former Goldman Sachs director accused by the government of passing insider information about the Wall Street firm, had tried to resign from the Goldman board in the middle of the 2008 financial crisis, only weeks before he is said to have provided the tips to the hedge fund manager Raj Rajaratnam.
According to a new audiotape recording released by federal prosecutors late Friday, Gupta sought to leave the Goldman board to take a job as a senior adviser at Kohlberg Kravis Roberts, the private equity firm led by Henry R Kravis, a friend of Gupta?s.
The recording also suggests that Gupta may have been having personal troubles at the time he is accused of passing the tips. The tape offers an unusual window into Gupta?s world during the time that the government says he tipped off Rajaratnam.
The case is being zealously tracked by corporate America?s top echelon because of Gupta?s deep connections at the highest levels: he ran McKinsey & Company, the prestigious consulting firm, for a decade and served on several prominent boards, including those of Procter & Gamble and AMR, the parent company of American Airlines.
On September 9, 2008, Gupta submitted a formal resignation letter to Goldman, a person briefed on the recording said, speaking on the condition of anonymity.