“Insider Trade Alleged After Equifax Breach,” The Wall Street Journal, March 15, 2018 B1. The CIO of an Equifax unit indicted for insider trading after learning of the Equifax hack, but before that information was disclosed. Sold nearly $1 million in stock 10 days before the disclosure.
This reminds me of the lawyer who approved the sale by some Equifax execs of some stock after the breach but before disclosure. See post here. Those executives have since been cleared, as they didn’t know of the breach at the time of the sale.
The company said it had cooperated in the investigation (no doubt having re-read a copy of the Yates memo). The defendant had been promoted to be Equifax’s CIO before the trading was discovered, at which time the offer was “rescinded.” He hadn’t been told about the breach, but figured it out. Avoided $117,000 in losses. But not getting fired and indicted.