A recent case of international hacking and illicit securities trading involves a Russian businessman, Vladislav Klyushin. According to the U.S. Attorney's Office, Klyushin was sentenced to nine years in prison for his involvement in an elaborate scheme that netted approximately $93 million through securities trades based on confidential corporate information stolen from U.S. computer networks.
In February 2023, Klyushin was convicted of securities fraud, wire fraud, gaining unauthorized access to computers, conspiracy to commit crimes, and eventually arrested in Switzerland before being extradited to the United States in December the same year.
Four other co-conspirators, Ivan Ermakov, Nikolai Rumiantcev, Mikhail Vladimirovich Irzak, and Igor Sergeevich Sladkov, were also implicated in Klyushin's scheme but remain at large. Interestingly, Ermakov was indicted in July 2018 for his alleged involvement in a scheme to interfere with the 2016 United States elections via computer hacking. As reported by the U.S. Attorney's Office, Ermakov was also charged in October 2018 in connection with his alleged role in hacking and related disinformation operations targeting international anti-doping agencies, sporting federations, and anti-doping officials.
Klyushin and his co-conspirators worked for M-13, a Moscow-based IT company that allegedly offered penetration testing and other hacking services, while also investing investor funds in his hack-to-trade scheme. This strategy allowed Klyushin and his associates to use stolen information to trade securities with insider knowledge, giving them an unfair advantage over other investors and causing significant financial losses to unsuspecting businesses.
Despite Klyushin's conviction, his co-conspirators remain at large, potentially continuing their illegal activities undeterred.
