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posted by Fnord666 on Tuesday July 02 2019, @08:31AM   Printer-friendly
from the do-the-math dept.

Submitted via IRC for Bytram

Former Equifax employee sentenced for insider trading

Jun Ying, the former Chief Information Officer of Equifax U.S. Information Solutions, has been sentenced to federal prison for insider trading.

"Ying thought of his own financial gain before the millions of people exposed in this data breach even knew they were victims," said U.S. Attorney Byung J. "BJay" Pak.  "He abused the trust placed in him and the senior position he held to profit from inside information."

"If company insiders don't follow the rules that govern all investors, they will face the consequences for their actions. Otherwise the public's trust in the stock market will erode," said Chris Hacker, Special Agent in Charge of FBI Atlanta. "The FBI will do everything in its power to stop anyone who takes unfair advantage of their insider knowledge."

[...] On Friday, August 25, 2017, Ying texted a co-worker that the breach they were working on "sounds bad.  We may be the one breached."  The following Monday, Ying conducted web searches on the impact of Experian's 2015 data breach on its stock price.  Later that morning, Ying exercised all of his stock options, resulting in him receiving 6,815 shares of Equifax stock, which he then sold.  He received proceeds of over $950,000, and realized a gain of over $480,000, thereby avoiding a loss of over $117,000.  On September 7, 2017, Equifax publicly announced its data breach, which resulted in its stock price falling.

Jun Ying, 44, of Atlanta, Georgia, was sentenced to four months in prison to be followed by one year of supervised release, ordered to pay restitution in the amount of $117,117.61, and fined $55,000.  Ying was convicted on these charges on March 7, 2019, after he pleaded guilty.

Also at The Verge and DARKReading.


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  • (Score: 0) by Anonymous Coward on Tuesday July 02 2019, @06:27PM

    by Anonymous Coward on Tuesday July 02 2019, @06:27PM (#862476)

    I don't think it is that easy to absolve oneself of responsibility for trading on non-public information.