A former Equifax executive is facing charges over insider trading related to the company’s massive breach.
The Securities and Exchange Commission announced on Wednesday that it’s filing charges against Jun Ying, a former chief information officer with Equifax’s US branch. He was next in line to be the company’s global CIO before he was fired over the breach.
Last September, Equifax announced that it suffered a data breach that would affect more than half of the US population, exposing the Social Security numbers, names and addresses of 147 million Americans. The company learned about the breach on July 29, 2017, but did not announce it publicly for nearly three months.
The SEC said that during that time, Ying allegedly used that information and sold his shares in Equifax, making nearly $1 million. If he had sold those same shares after the breach was announced, he would have made $117,000 less.
“As alleged in our complaint, Ying used confidential information to conclude that his company had suffered a massive data breach, and he dumped his stock before the news went public,”Richard R. Best, the SEC’s Atlanta branch director, said in a statement.
The US Attorney’s office in Georgia also filed criminal charges against Ying on Tuesday.
Prosecutors said that Ying sent a text to a co-worker on August 25, 2017, saying that the security issue they were were working on “Sounds bad. We may be the one breached.”
This is a breaking news story. Please continue to check for updates.
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