Close
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home IT Management
    • IT Management

    SEC Sues Florida College Student

    By
    Matt Hines
    -
    February 5, 2007
    Share
    Facebook
    Twitter
    Linkedin

      The Securities and Exchange Commission is suing a 21-year-old Florida college student who is believed to be responsible for carrying out a sophisticated online “pump-and-dump” fraud scheme.

      In the lawsuit, filed in U.S. District Court of Florida in Tampa Jan. 25, the SEC claims that Aleksey Kamardin, also of Tampa, masterminded a plot to break into online brokerage accounts and buy shares of low-priced stocks to inflate the price of the shares. By buying the stocks shortly before driving up the price via fraudulent trading—and then selling them at a premium—Kamardin bilked the stock market for almost $83,000 in just over a month, the suit claims.

      While many pump-and-dump operators simply spam favorable information about penny stocks—typically valued at well under $1 per share—to large numbers of consumers in hopes that enough people will buy in, Kamardins alleged ploy illustrates the growing ability of savvy hackers to steal money from businesses, individuals and even financial markets, according to analysts.

      The investigators contend that after opening an account under his own name with online broker E-Trade Securities July 17, 2006, Kamardin bought shares in 17 different thinly traded companies and used hijacked online brokerage accounts to increase the value of each stock before selling it. In each case, over a five-week period leading up to Aug. 25, either Kamardin or other unidentified parties broke into accounts hosted by E-Trade, Scottrade, TD Ameritrade, JPMorgan Chase and Charles Schwab, among others, SEC investigators said.

      The alleged activity violated at least three SEC trading laws, the lawsuit claims. After clearing $82,960 from his trades, investigators said, Kamardin wired his profits from his online brokerage account to a domestic bank account and then transferred the funds to a second account owned by a Russian-born roommate. The roommate then immediately wired the money to a bank account in Riga, Latvia, the suit claims. Investigators said they believe Kamardin, a U.S. citizen and identified in the claim as a student, has fled to Russia to avoid prosecution.

      The scheme allegedly run by Kamardin is almost identical to one believed to have been carried out by another target of the SEC named Evgeny Gashichev. On Dec. 19, the SEC froze the assets of Grand Logistic, a company in Talinn, Estonia, purportedly operated by Gashichev.

      Matt Hines
      Get the Free Newsletter!
      Subscribe to Daily Tech Insider for top news, trends & analysis
      This email address is invalid.
      Get the Free Newsletter!
      Subscribe to Daily Tech Insider for top news, trends & analysis
      This email address is invalid.

      MOST POPULAR ARTICLES

      Latest News

      Zeus Kerravala on Networking: Multicloud, 5G, and...

      James Maguire - December 16, 2022 0
      I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
      Read more
      Applications

      Datadog President Amit Agarwal on Trends in...

      James Maguire - November 11, 2022 0
      I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
      Read more
      Cloud

      IGEL CEO Jed Ayres on Edge and...

      James Maguire - June 14, 2022 0
      I spoke with Jed Ayres, CEO of IGEL, about the endpoint sector, and an open source OS for the cloud; we also spoke about...
      Read more
      IT Management

      Intuit’s Nhung Ho on AI for the...

      James Maguire - May 13, 2022 0
      I spoke with Nhung Ho, Vice President of AI at Intuit, about adoption of AI in the small and medium-sized business market, and how...
      Read more
      Applications

      Kyndryl’s Nicolas Sekkaki on Handling AI and...

      James Maguire - November 9, 2022 0
      I spoke with Nicolas Sekkaki, Group Practice Leader for Applications, Data and AI at Kyndryl, about how companies can boost both their AI and...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2022 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×