Witness: Insider trading crimes destroyed my life
NEW YORK (AP) — A key government witness in the insider trading trial of a San Francisco hedge fund operator testified Thursday that her crimes destroyed her life, ruining her reputation and her finances.
Roomy Khan, 53, was pushed by lawyers on both sides to sum up her gloomy existence over the last decade as her testimony over four days neared its end in the trial of Doug Whitman, founder of Whitman Capital.
"Sir, my life has been destroyed, the way I knew it," Khan said in response to questions from Whitman's San Francisco defense lawyer, David L. Anderson. A day earlier, she had cried as she told a prosecutor about her life's difficulties.
On Thursday, she cited damage from "a public lynching and money lost," saying her pain was beyond comprehension. Once worth up to $40 million, she described struggling to pay the mortgage on her $5 million Atherton, Calif., home before moving to Fort Lauderdale, Fla.
Khan was testifying for the first time this week at a trial despite cooperating with the government for much of the last dozen years. She admitted earlier in the week that she supplied inside tips to one-time billionaire Raj Rajaratnam 15 years ago. Rajaratnam is serving 11 years in prison after his conviction in history's biggest insider trading prosecution. The probe produced more than two dozen convictions.
She told the jury that she fed inside information to Whitman, one of several friends she claimed to call whenever she got reliable tips about upcoming earnings announcements. She said he refused to listen to secrets about mergers and acquisitions.