A notorious inside trader who was slapped with a then-record 11-year prison term in 2011 was quietly released to home confinement in his swank Upper East Side apartment this summer — thanks in part to Kim Kardashian.
Ex-billionaire Raj Rajaratnam was released early for good behavior, but didn’t have to move into a seedy halfway house full of other ex-cons as do most federal felons released early.
That’s because Rajaratnam, 62, whose estimated worth in 2010 was $700 million, qualified for special treatment under the “First Step Act,” a series of criminal justice reforms that President Trump signed into law last year after Kardashian lobbied for it in the Oval Office.
One provision allows some federal inmates who are over 60 years old, or who face terminal illnesses, to serve the end of their sentences at home, according to Bloomberg News, which first reported Rajaratnam’s release.
The kid-gloves treatment marked the second big break scored by the former head of the Galleon Group hedge fund, who built an ill-deserved reputation as one of Wall Street’s savviest tech investors.
Rajaratnam had faced more than 19 years behind bars following his conviction for scamming more than $70 million in “gains and losses avoided” with the help of carefully cultivated sources who leaked him corporate secrets.