A trader puts his hand to his face while working on the floor of the New York Stock Exchange.
Photo: Reuters
| Other Photos |
 |
|
 |
SEC Sues Russian Citizen for Fraud
The U.S. Securities and Exchange Commission, or SEC, has filed a complaint in the United States District Court for the Southern District of New York against Russia’s citizen Anatoly Russ, blaming on him the fraudulent account scheme to purchase and sell options contracts.
SEC alleges that, in 2006, Russia’s trader electronically stole and used usernames and passwords, gaining unauthorized Internet access to online brokerage accounts. Without the knowledge of accountholders but using their funds, the trader was purchasing option contracts at inflated prices from his own trading accounts.
This scheme enabled Russ to artificially drive up the prices for the contracts and profit illegally on the final sale of the options to cheated brokers. According to SEC, the fraudulent scheme yielded at least $88,500 to the Russian, while the losses at intruded online accounts reached $340,000.
www.kommersant.com
|
|
|
