Bangalore: Rajat Gupta, the former Indian-American director of Goldman Sachs Group, has been sentenced to two years in prison and he is also ordered to pay an amount of $5 million, as fine. He was sentenced yesterday, by a federal court in Mahattan

Rajat is convicted for insider trading, where he disclosed the earnings of his company (Goldman Sachs) to Rajaratnam(founder of Galleon Group).

"The last 18 months have been the most challenging period of my life since I lost my parents as a teenager. I regret terribly the impact of this matter on my family, my friends and the institutions that are dear to me. I've lost my reputation I built for a lifetime. The verdict was devastating’’, said Gupta, in a statement to the court, reports Larry Neumeister of Associated Press.

Earlier, the federal prosecutors have sought a jail term of 8-10 years for Gupta and the sentence of two years came as a surprise to many. But, Gupta's lawyers had previously suggested that he could repay for his "shocking" crimes by doing social service, such as working for a homeless youth shelter in New York or in Rwanda or in sectors like agriculture and health. They have also sent more than 400 letters from Gupta's relatives and supporters to the judge, in support of arguments about Gupta's "exemplary life of uncommon accomplishment" and dedication as a family man.

‘’He is a good man, but the history of this country and the history of the world is full of examples of good men who did bad things’’, said Judge Jed S. Rakoff, after the sentence.

In a statement, Preet Bharara said of Gupta, "His conduct has forever tarnished a once-sterling reputation that took years to cultivate."

"We hope that others who might consider breaking the securities laws will take heed from this sad occasion and choose not to follow in Gupta's footsteps," he added.