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OK, enough is enough with this innocence thing. I am talking about the new revelations about ex- Berkshire Hathaway ( BRK.A) honcho David Sokol and his apparent knowledge of an upcoming bid before he bought 100,000 shares of Lubrizol ( LZ). I am also talking about the ridiculous defense that Raj Rajaratnam is putting up that he was worried about his $600 million in custody at Goldman Sachs ( GS) during the bad days of 2008.

This makes me want to go for that prosecutor's job again, like I did in 1983 -- the one for which Rudy Giuliani rejected me because I had a B+ average at Harvard Law.

Look, you have to realize how stupendously pathetic the protestations of "not guilty" are in these two instances. Sokol and Warren Buffett have decided that Sokol is innocent -- well, whoop-de-do. Last time I checked, unless we live in the U.S. of Berkshire Hathaway, that's up to the prosecution.

The idea that it might in any realm be legal that Rajaratnam should get information about a Buffett infusion into Goldman's coffers -- which is perhaps the single most inside material information imaginable from a board member -- and trade on it is just preposterous. He's worried about his custodial account. He finds out about an infusion that will save the firm and he buys ahead of it? They have nothing whatsoever to do with each other.

Now, for some real truth. I don't know these guys' lawyers but here is what I believe they are telling their clients. In Sokol's case: "We are really in trouble here, but let's just presume innocence and buffalo the prosecution into thinking this is business as usual."

In Rajaratnam's case, it goes like this: "You are so guilty it is astounding. Your goose is totally cooked. So we might as well try anything."

As someone who has close knowledge of these laws, I can tell you that the defense doesn't even deserve a hearing, but we do live in America. The information Sokol had on Lubrizol was perfect. That wasn't investing. That seems to be just stealing from Berkshire, as his buy most likely moved up the price the shareholders had to pay. The defense here? Simply this: "Warren knows more than you, Mr. Prosecutor, so go away."

And Rajaratnam? Goldman is one of many situations in which he had the whole picture right from the horse's mouth. I don't even know if it is worth defending. Better to throw yourself on the mercy of the court; otherwise, you are betting that the jury of your peers is a bunch of morons. Hmm, maybe, in the end, that's exactly what he's betting on.

You never know, but note this: Any lawyer would have told Rajaratnam that if he had heard what Rajaratnam was getting that he had to freeze himself or he would be guilty as sin if he bought stock on the information he had. That doesn't mean he will get off, but it does mean that he shouldn't.
Jim Cramer, founder of, writes daily market commentary for's RealMoney and runs the charitable trust portfolio, Action Alerts PLUS. He also participates in video segments on TV and serves as host of CNBC's "Mad Money" television program.

Mr. Cramer graduated magna cum laude from Harvard College, where he was president of The Harvard Crimson. He worked as a journalist at the Tallahassee Democrat and the Los Angeles Herald Examiner, covering everything from sports to homicide before moving to New York to help start American Lawyer magazine. After a three-year stint, Mr. Cramer entered Harvard Law School and received his J.D. in 1984. Instead of practicing law, however, he joined Goldman Sachs, where he worked in sales and trading. In 1987, he left Goldman to start his own hedge fund. While he worked at his fund, Mr. Cramer helped start Smart Money for Dow Jones and then, in 1996, he founded, of which he is chairman and where he has served as a columnist and contributor since. In 2000, Mr. Cramer retired from active money management to embrace media full time, including radio and television.

Mr. Cramer is the author of "Confessions of a Street Addict," "You Got Screwed," "Jim Cramer's Real Money," "Jim Cramer's Mad Money," "Jim Cramer's Stay Mad for Life" and, most recently, "Jim Cramer's Getting Back to Even." He has written for Time magazine and New York magazine and has been featured on CBS' 60 Minutes, NBC's Nightly News with Brian Williams, Meet the Press, Today, The Tonight Show, Late Night and MSNBC's Morning Joe.