By Grant McCool and Jonathan Sempel, Reuters, March 4, 2011

Goldman Sachs Group Inc is being drawn into the criminal trial of one-time hedge fund billionaire Raj Rajaratnam, as prosecutors plan to show an insider-trading conspiracy involving a former director at the Wall Street bank.

Prosecutors intend to introduce audiotapes showing that Rajaratnam got inside tips from his friend Rajat Gupta, who sat on Goldman's board until last May. The trial of Rajaratnam, who was head of the Galleon Group hedge fund, starts next Tuesday in the highest profile Wall Street insider-trading case in a generation.

At a court hearing on Friday, prosecutors said the leaks include details about a $5 billion investment by Warren Buffett's Berkshire Hathaway Inc in Goldman at the height of the financial crisis in September 2008.  Goldman has not been accused of wrongdoing. The bank's chief executive, Lloyd Blankfein, has agreed to testify for the government, the Wall Street Journal reported on Friday....

Also see:

Prosecutor: Ex-Goldman Director in Galleon Conspiracy

By Chad Bray, Wall Street Journal, March 4, 2011

and:

Buffett's 2008 Investment in Goldman Sachs Was Leaked by Gupta, SEC Says

By Andrew Frye and Dakin Campbell, Bloomberg News, March 1, 2011