financetom
Technology
financetom
/
Technology
/
US charges British man over 'hack-to-trade' scheme
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US charges British man over 'hack-to-trade' scheme
Sep 28, 2024 2:12 AM

Sept 27 (Reuters) - A British man has been arrested and

charged by U.S. authorities with hacking into the computers of

five companies to obtain details about their expected earnings,

and making $3.75 million of illegal profit by trading before

results were released.

The U.S. Department of Justice will seek the extradition of

Robert Westbrook, 39, of London, to face securities fraud, wire

fraud and five computer fraud charges contained in a criminal

indictment made public on Friday.

Westbrook was arrested this week in the United Kingdom, and

also faces related U.S. Securities and Exchange Commission civil

charges. His lawyer could not immediately be identified.

The companies were not identified by name in court papers

filed in federal court in Newark, New Jersey.

Financial and stock price details in the SEC complaint

suggest the companies are food container maker Tupperware

, general contractor Tutor Perini ( TPC ), software

provider Guidewire Software ( GWRE ), gas station operator

Murphy USA ( MUSA ) and telecommunications equipment maker

Lumentum Holdings ( LITE ).

Authorities said Westbrook's "hack-to-trade" scheme involved

gaining access to executives' email accounts between January

2019 and May 2020, and using material nonpublic information to

buy stocks and options prior to at least 14 earnings

announcements.

On several occasions, Westbrook allegedly implemented rules

to have content from executives' email accounts automatically

forwarded to his own accounts.

Jorge Tenreiro, acting chief of the SEC's crypto assets and

cyber unit, called Westbrook's activity a "sophisticated

international hacking," including the use of anonymous email

accounts, VPN services, and bitcoin to conceal wrongdoing.

None of the five companies was accused of wrongdoing.

The securities fraud and wire fraud counts each carry a

maximum 20-year prison term, while each computer fraud count

carries a maximum five-year term.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Cracking The Code: Understanding Analyst Reviews For Microsoft
Cracking The Code: Understanding Analyst Reviews For Microsoft
Oct 18, 2024
Ratings for Microsoft ( MSFT ) were provided by 16 analysts in the past three months, showcasing a mix of bullish and bearish perspectives. The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months. Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish Total Ratings...
10 Analysts Assess Klaviyo: What You Need To Know
10 Analysts Assess Klaviyo: What You Need To Know
Oct 18, 2024
Providing a diverse range of perspectives from bullish to bearish, 10 analysts have published ratings on Klaviyo ( KVYO ) in the last three months. The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective. Bullish...
Satellite firm Visiona eyes growth as Brazil doubles down on aerospace
Satellite firm Visiona eyes growth as Brazil doubles down on aerospace
Oct 18, 2024
SAO JOSE DOS CAMPOS, Brazil (Reuters) - Brazilian aerospace company Visiona expects to advance in its satellite business at a time when the South American country indicates it is looking to expand its presence in the industry. Visiona on Friday revealed for the first time images obtained by a nanosatellite it launched last year, the VCUB1, Brazil's first locally designed...
A Look Ahead: SAP's Earnings Forecast
A Look Ahead: SAP's Earnings Forecast
Oct 18, 2024
SAP is preparing to release its quarterly earnings on Monday, 2024-10-21. Here's a brief overview of what investors should keep in mind before the announcement. Analysts expect SAP to report an earnings per share (EPS) of $1.33. SAP bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted...
Copyright 2023-2026 - www.financetom.com All Rights Reserved