Equifax employee sentenced to four months for inside trading

28.06.2019

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The violator of trading policies took advantage of the massive Equifax data breach and sold Equifax shares infringing trading procedures and regulations.

After 145 million people had their personal information compromised, he conducted an analysis of the scenario that had happened to Experian following the data leak incident, Jun Ying, former chief information officer of Equifax’s U.S. Information Solutions, implemented all available to him methods to obtain shares of Equifax stock.

Jun exploited 6,815 shares of Equifax stock which were sold for more than $950,000. Equifax already had an employee who would make a profit exercising put options and be sentenced to serve home confinement paying a $50,000 fine for receiving a profit of $75,000.

Ying is to serve four months’ prison term and pay $117,000 – the sum he procured from his unlawful actions, and a $55,000 penalty amount.

Ying was a high-positioned officer and had the access to nonpublic corporate data granted to him. Around that time he was considered to be the serious contender for the post of the global chief information officer of Equifax.

 

The second recent insider trading case brought a former UBS compliance officer to court.

The investigation has been on for more than four years and the trial continued for eight weeks. UK is concerned about the leap of suspicious trades, and is focusing on the ways to enforce the control and guard against insider trading issues.

One of the employees communicated internal information regarding UBS deals to another employee due to some personal reasons.

The offenders have been found guilty for the crime which can impose on them a maximum seven-year sentence.


Employee communications within a corporate network, as well as uncontrolled data exchange between employees and external contacts, which become a common way the confidential information is transferred, can and should be monitored by a correctly preconfigured system developed to help you mitigate risks, learn more.