SEC Drops Administative Proceeding Against Gupta

The SEC and Rajat Gupta agreed that the agency would drop its administrative proceeding against him and that it could bring the insider trading charges in federal district court.  As you recall, the SEC chose to exercise its new powers under Dodd-Frank to bring an administrative proceeding against Gupta, while it pursued insider trading allegations against all other Galleon defendants in federal district court.  Judge Rakoff, in S.D.N.Y., found that the agency's unexplained disparate treatment was unfair.  WSJ, SEC, Rajat Gupta Drop Their Cases, for Now