Rajat Gupta, the Goldman Sachs board member whom the SEC charged this morning with insider trading, and the man he was allegedly feeding information to, Galleon's Raj Rajaratnam, were apparently so eager to get their insider trading on that they acted on tips while the words were still hovering in the air. On one occasion in September 2008, according to the complaint, Rajaratnam traded hundreds of Goldman shares "less than a minute" after speaking with Gupta. In another instance, Gupta called Rajaratnam while the phone was still sweaty from talking to Goldman CEO Lloyd Blankfein.
Gupta dialed into the October 23, 2008, Board meeting around the time it was scheduled to start and remained on the call until 4:49 p.m. Just 23 seconds after disconnecting from the call, Gupta called Rajaratnam.
Obviously spelling out M-I-S-S-I-S-S-I-P-P-I before taking action on your insider trades is not something they teach at Wharton.