Two Hackers Charged with Hacking SEC System in Stock-Trading Scheme
Jan 15, 2019
The U.S. authorities have charged two Ukrainian hackers for hacking into the Securities and Exchange Commission's EDGAR filing system and stealing sensitive market-moving reports of companies before their public release. EDGAR, or Electronic Data Gathering, Analysis, and Retrieval, is an online filing system wherein companies submit their financial filings. The system processes around 1.7 million electronic filings per year. EDGAR lists millions of filings on corporate disclosures—ranging from annual and quarterly earnings report to sensitive and confidential information on mergers and acquisitions, which could be used for insider-trading or even manipulating U.S. equity markets. The two Ukrainian hackers, Artem Radchenko and Oleksandr Ieremenko (27-years-old), hacked EDGAR system to extract such sensitive non-public reports of publicly traded companies and sold that information to different groups of traders. According to an indictment [ PDF ] unsealed on Tuesday, amo...
