SEC Takes Action Against Latvian Hacker 57
wiredmikey writes "The SEC has filed charges against a trader in Latvia for conducting a widespread online account intrusion scheme in which he manipulated the prices of more than 100 NYSE and Nasdaq securities by making unauthorized purchases or sales from hijacked brokerage accounts. The SEC also went after four online trading firms and eight executives who are said to have helped the hacker make more than $850,000 in ill-gotten funds. The SEC's actions occurred on the same day that the Financial Industry Regulatory Authority (FINRA) issued an investor alert and a regulatory notice about an increase in financially motivated attacks targeting email."
I'll Take Your Wager (Score:5, Interesting)
And the SEC wonders why people keep doing this sort of thing. I bet those two guys (and many other not charged) walked away with millions.
According to the court filing [sec.gov]:
Nagaicevs generated more than $850,000 in illegal profits from this scheme. His unauthorized trading in the hijacked accounts also caused losses in excess of $2 million which were reimbursed by the broker-dealer firms that carried the victimized customer accounts.
So how did the firms that the associates work for 'walk away with millions' when Nagaicevs got $850,000 and the total losses to the accounts was over $2 million? I'm guessing that since the firms that those associates worked for reimbursed those accounts that those two associates are facing some pretty upset employers. Is that really worth a couple hundred thousand?
Re:1% are failing us again (Score:5, Interesting)
Yeah, I'm sure he was planning on giving you and all your friends 20 cents.
Have you actually checked your position on the global "rich list" [globalrichlist.com]? You might actually be part of the 1%. I am, and I don't have anything to do with the finance market. I probably don't even make very much money compared to a lot of slashdotters, because I'm happy working in a small/medium business rather than being in a Fortune 500 or whatever.