news.cuna.org/articles/106922-news-of-the-competition

News of the Competition

July 23, 2015

MANHATTAN (7/23/15)--Four people have been arrested and a fifth suspect is at large in a complex securities fraud scheme connected with last summer’s hacking of JPMorgan Chase and other financial institutions as well as a Bitcoins money laundering scheme  (Bloomberg.com July 21). The schemes involve multi-layered organizations with ties reaching to Moscow, Tel Aviv, and West Palm Beach, Fla. According to a grand jury indictment unsealed Tuesday in Manhattan, they are allegedly connected with the manipulation of five stocks in the past year in a “pump and dump” securities fraud scheme. A “pump and dump scheme” uses stolen names and email addresses to send promotional emails to victims encouraging them to buy hot stocks. Bloomberg said that a hacking into the digital version of Fort Knox resulted in stealing names, addresses and emails of JPMorgan Chase’s customers that could be used in the spam mailings. Other institutions hacked included Fidelity Investments Ltd. and E*Trade Financial Corp. ...