Former Goldman Sachs director Rajat Gupta gets to delay going to prison — possibly for years.
A two-judge panel of the 2nd US Circuit Court of Appeals in New York ruled that Gupta, 64, could remain free on bail pending appeal, which could take several years.
The former head of consulting firm McKinsey & Co. was scheduled to report to prison on Jan. 8.
Prosecutors had argued that he should start serving out his sentence after he was convicted in June of passing along confidential tips to hedge-fund pal Raj Rajaratnam, including Warren Buffett’s $5 billion investment in Goldman during the crisis, while he was on the bank’s board.
It’s not the first time Gupta, who traveled in the highest echelons of business, has been treated with kid gloves.
His two-year prison sentence was the lightest yet for someone convicted at trial in the government’s widespread crackdown on insider trading.
By contrast, Rajaratnam, who traded on Gupta’s tips, was sentenced to 11 years in prison and is fighting his appeal from behind bars.