Legal Bistro is an online community where consumers with legal needs are able to post their cases anonymously. The service is 100% free for consumers. Lawyers use our site to find new clients. Our blog has been developed to provide relevant and timely legal content for both lawyers and consumers.
Probably everyone has heard about federal and state crimes but the majority of people doesn’t differentiate them. Let’s make it clear and define both of the terms.
Federal crime is an illegal act that is made against U.S. federal legislation and is prosecuted by federal criminal law. Federal crimes are investigated by:
Internal Revenue Service (IRS)
Federal Bureau of Investigation (FBI)
Drug Enforcement Administration (DEA)
When federal cases go to trial they are prosecuted by United States Attorney in each judicial district in accordance with already established laws. Federal crimes can range from illegally downloading songs from Internet to RICO, drug trafficking, corruption or immigration crimes.
Gupta, the former global head of the consulting firm McKinsey & Company, as well as a former director at both Goldman Sachs and Proctor & Gamble, has been charged with conspiracy and securities fraud, in a government investigation that so far has resulted in 59 convictions. What is somewhat unique in this high profile case is that government investigators do not have actual recordings of Mr. Gupta passing insider information but they are using a combination of phone records, trading records and wire taps of Raj Rajaratnam and Rajat Gupta to compare the information on these recordings to Mr. Gupta’s actions.
The Gupta case has all of the intrigue that was associated with the trials of Ivan Boesky
in the 1980’s. Possible witnesses in the Gupta case include such high profile people as Lloyd C. Blankfein, the Chief Executive of Goldman Sachs; Gary D. Cohn, the bank’s president; A.G. Lafley, the former CEO of Proctor & Gamble; Kenneth I. Chenault, CEO of American Express; Bryon Trott, the former Goldman banker who oversaw Warren Buffett’s investment; and Steven Peikin, a Sullivan & Cromwell lawyer.