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Former Equifax CIO Charged With Insider Trading (bloomberg.com)
OffTheLip writes: Jun Ying, a former CIO with Equifax has been charged with insider trading by the US Department of Justice. From the linked article:
Wednesday's announcement marks the first criminal charge brought in one of the largest data breaches in history. Ying, the former chief information officer for Equifax's U.S. information-solutions business, used confidential information entrusted to him by the company to determine it had been hacked, according to a separate complaint filed by the Securities and Exchange Commission.
ZDNet adds: According to a Justice Department statement, Ying sent a text message to a colleague two weeks before Equifax revealed the hack, in which he said the breach "sounds bad." Three days later, Ying searched the web to research the effect of Experian's 2015 own breach on its stock price. Later that day, Ying excised all his available stock options.
Insider trading on his own incompetence and negligence is criminal, but incompetence and negligence itself is not punished in any way.
I am Jack's complete lack of surprise.
Downmodding is the refuge of the weak. Don't downmod, make a better argument!
So all those stock options are going to be seized and used to compensate everyone who suffered as a result of the breach right?
Maybe?
I wish they would bring back public stoning.
Bring back the guillotine if you want this nonsense to end. It's going to have to get straight up French Revolution before the parasites stop sucking.
Thank goodness we have Clinton in office to prosecute this criminal. If Trump had been president his business friendly DOJ would have looked the other way.
Bring back the guillotine. Chop all their heads off, plant them on poles as a warning to the rest of the 'financial community' to NOT FUCK UP.
Like everyone else I'm sitting here wondering if the coin landed 'heads' or 'tails' so far as my entire identity having been stolen or not.
There goes his credit rating!
I am actually surprised at both the SEC and DoJ imposing civil and criminal penalties on cases today. So many cases in the news about C-levels shorting their stock before a major negative company announcement, and getting the capital gains tax free as icing on the cake.
Lets hang him.
slap yourself silly with it..
and oh, by the way, you're qualified for a trump cabinet post now.
Someone else was using this computer.
Total arrogance is a kind of stupidity. This ass assumed he could get away with this crap because he's "special." The problem is, the stock market is one of the few places where elites get burned just like anyone else. If you blatantly screw the system the system will screw you no matter who you are. Martha Stewart found this out. She got caught up in insider trading and although the Feds case against her was weak they managed to put her in jail for lying to investigators. If you fuck with the sacred cow of Wall Street they will fuck you back.
And this guy is so inept he left behind an audit trail while planning to do some insider trading.
How did anyone this incompetent rise to that level on such a critical position in the company? Just yesterday I interviewed a PhD candidate has published six papers as first author, fantastic work that must have taken couple of years of relentless of toiling. Whether I hire him or neither he nor a legion of candidates like this are struggling to get 100K jobs. And this doofus gets to be the CIO with stock options and million dollar pay benefit packages...
sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
What happened to all the BS about the execs' trading activity being normal pre-planned sales? Obviously that was a lie.
The real "Libtards" are the Libertarians!
... having is credit history maintained by Equifax.
It must have been something you assimilated. . . .
Sounds like his bosses found themselves a patsy.
"Later that day, Ying excised all his available stock options."
Excise: to remove by cutting
Exercise: an action or actions intended to improve something or make something happen
(both from https://dictionary.cambridge.o...
As I understand it, to exercise a stock option would be to pay the option's strike price and take possession of the shares. This would not in itself be of benefit if you expected the share price to fall, but it would be a necessary step prior to selling the shares. To excise stock options means nothing to me, but it might be some jargon I am unaware of.
Here is more context from the ZDNet story:
Jun Ying, who was slated to become the company's next chief information officer, allegedly used confidential information that the company's systems had been hacked to sell his stock before the news was made public.
According to a Justice Department statement, Ying sent a text message to a colleague two weeks before Equifax revealed the hack, in which he said the breach "sounds bad." Three days later, Ying searched the web to research the effect of Experian's 2015 own breach on its stock price.
Later that day, Ying excised all his available stock options.
The former executive made more than $1 million from the sale, according to a federal complaint, avoiding more than $117,000 in losses.
The word "own" in "the effect of Experian's 2015 own breach on its stock price" lends weight to the hypothesis that ZDNet has lousy editing and meant "exercise".
Quattuor res in hoc mundo sanctae sunt: libri, liberi, libertas et liberalitas.
some actual money. That seems to be the only thing that gets anyone in trouble. That or embarrassing them in front of the rubes in the working class (ala Martin Shkreli, whose conviction everybody on the left is doing a victory lap over meanwhile the drug price is still 5000% what it was).
Anyway, talk to me when a) he does jail time and b) we see meaningful regulations to prevent this sort of thing from happening again.
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If I had a penny for ever politician or person who had taken advantage of insider trade information I would not be able to get out of the house, get to the lawn or the neighborhood.