SEC charges UK citizen for hacking

According to the SECs complaint, filed on September 27, 2024, in the U.S. District Court for the District of New Jersey, Westbrook engaged in this activity between January 2019 and August 2020. He reportedly reset passwords of senior executives to gain unauthorized access to the companies' computer systems, allowing him to obtain sensitive information before at least 14 earnings announcements.

The Securities and Exchange Commission (SEC) has filed charges against Robert B. Westbrook, a UK citizen, for hacking into the systems of five U.S. public companies to acquire material nonpublic information about their corporate earnings. This unlawful access allowed Westbrook to profit approximately $3.75 million by trading on insider knowledge before the companies announced their earnings.

The SEC has charged Westbrook with violating the antifraud provisions of the Securities Exchange Act of 1934. The agency seeks a final judgment that would impose civil penalties, require Westbrook to return his illicit gains with interest and prevent him from committing future violations of federal securities laws. This case highlights ongoing efforts by regulatory authorities to combat insider trading and protect the integrity of financial markets.