Raj Rajaratnam, the billionaire hedge fund manager arrested Friday and charged with insider trading, is apparently connected to a case in his native Sri Lanka that involves money transfers that should have been reported to the local government.
Rajaratnam, with the help of a Sri Lankan Parliament member, transferred $1 million from Galleon (his hedge fund) into an account of Nexia Corporate Consultants in late 2006, according to a Sept. 26, 2009, article in the Daily Mirror of Sri Lanka. Rajaratnam then followed with his own $2 million transfer in early 2007, according to the article. The money was to be used to buy shares of Union Bank of Colombo, the article said.
Posted by Gabriella Stern
on May 18, 2009
, Sri Lanka
Being based in Asia, I suppose I’m more familiar than many Americans with what’s been happening in Sri Lanka, but certainly far from conversant in the country’s complex politics and entirely lacking a political viewpoint. So, when news broke that the Tamil Tiger leadership had been vanquished, my first reaction was to launch into a blog about the economic implications of political stability spreading in South and Southeast Asia. Sri Lanka was the centerpiece of my piece and I also commented on India’s elections which returned the Congress Party-led government to office, and Indonesia poised to return the governing party of President Yudhoyono to power there. On a whim, I reached out to a colleague and Sri Lanka native, Shri Navaratnam, and asked what he thought about the Sri Lanka situation. After receiving Shri’s response, I deleted the blog I had begun. The pain in his (written) voice erased my desire to write cerebrally about so raw and painful an episode in that country’s history. Here are some of Shri’s thoughts:
“One of the issues that really rankle people like me, an avowed moderate Tamil, is the notion that the end of the war will bring the much desired peace dividend; and the Western media in particular seem to be blind to the ramifications of this war and the scars that it has left on the fabric of the Tamil population, whose contribution will be key to achieving real economic independence for Sri Lanka; the country has enormous potential, situated as it is in a key shipping route straddling the Indian Ocean and blessed with breathtaking beaches and landscape that many countries will die for; but a totally corrupt political establishment, endemic gun culture and marginalization of the Tamils mean economic nirvana is as distant as a pipe dream. What a lot of the Western media don’t realize or refuse to see is that this so called “end-of-the-war” has radicalized an overwhelming number of Sri Lankan Tamils; a society that thrives on survival through creating fear and discrimination will find it hard to achieve sustainable economic development. The peace loving Sinhalese, my wife included, don’t really see much hope for the country until we see the dawn of a political establishment that promotes the diverse cultural riches of the Sinhalese, Tamils and Muslims, and respects and uphold these communities rights. My journalist friend, Lasantha Wickrematunge, who was killed in January by military intelligence, was a great Sinhalese, who paid with his life for standing up to thuggery and blatant discrimination of the minorities. We need more of these brave souls to save this pearl of the Indian Ocean.”