back to article US bags Russian accused of bagging millions after stealing pre-release financial filings

The US Attorney's Office of Massachusetts on Monday announced the extradition of Vladislav Klyushin, a Russian business executive with ties to the Kremlin, on charges of hacking US computer networks and committing securities fraud by trading on undisclosed financial data. Klyushin, 41, a resident of Moscow, Russia, was …

  1. Snake Silver badge


    ..."the highly questionable US allegations."

    They sound pretty specific to me. Maybe "questionable" means "criminality is in the eye is the beholder, and we don't mind here in Mother Russia"?

    1. a_yank_lurker

      Re: ??

      The allegations are pretty specific. But there might an issue with whether his actions were illegal in Russia vs Feraldom; I do not know. But having watched Feraldom prosecutors (persecutors?) in action minor details like that will not phase them in getting a scalp and they love collecting scalps.

      1. Anonymous Coward
        Anonymous Coward

        Re: phase

        ITYM "faze"

      2. vtcodger Silver badge

        Re: ??

        AYL has a point. I'm in the US. If I hack a few computers in Russia from the US and use the data to trade on the Moscow Stock Exchange from the US, is that even a crime in the US? What crime? A felony? Or a misdemeanor? If Whatshisname is turned over to the Russians and is tried for anything, is he likely to receive any punishment other than a stern "I don't want to hear about you doing this again" lecture?

        ("I don't want you to hear about it either your honor. I'll try harder not to get caught next time.")

    2. martinusher Silver badge

      Re: ??

      Actually, its the "conspiracy" that's the questionable bit. Its a bit of a catch-all.

      The "ties to the Kremlin" is also a bit of a giveaway. The Kremlin is an ancient citadel that's the Russian equivalent of the area of DC that's administered by the Federal government that contains all the main (and ceremonial) parts of the US's Federal government. So "ties to the Kremlin" really means "knows a Russian lawmaker or two" but sounds a whole lot more sinister.

      Insider trading accusations I can understand. Laying it on a bit thick Cold War style, that's something else.

      FWIW -- The SEC will prosecute blatant cases but usually settles for just fining the miscreant their profit.

      1. Pascal Monett Silver badge

        You missed the part where it is said "one of five co-defendants".

        That is definitely a conspiracy.

      2. Insert sadsack pun here Silver badge

        Re: ??

        "The Kremlin is an ancient citadel that's the Russian equivalent of the area of DC that's administered by the Federal government that contains all the main (and ceremonial) parts of the US's Federal government. So "ties to the Kremlin" really means "knows a Russian lawmaker or two" but sounds a whole lot more sinister..."

        This is wrong. The Kremlin does not contain the legislature (or the courts). A reference to the Kremlin is a reference to the President and his apparatus. A person who knows a "lawmaker or two" does not have ties to the Kremlin.

        Klyushin on the other hand DOES have ties to the Kremlin. Specifically he is a close associate of Alexei Gromov, a senior official within the Presidential Administration who manages the media, and Klyushin's company has media monitoring contracts with the Presidential Administration.

    3. Doctor Syntax Silver badge

      Re: ??

      Of course they're questionable. That's what defence counsel are for. Maybe Russian courts are different.

  2. Anonymous Coward
    Thumb Up

    Also spelled

    It will be nice to see Klyushin (also spelled Krimshite) brought to justice.

    Thankfully, it was Massachusetts that was pursuing the case rather than the federal Justice Department under Trump (also spelled Putinlapdog).

    1. First Light

      Re: Also spelled

      The US Attorney for Massachusetts IS a lawyer for the DOJ. Technically DOJ lawyers are supposed to be independent of government, some prosecutions like this will have slipped under DJT's radar.

      1. Dinanziame Silver badge

        Re: Also spelled


        I'm not sure how many quotes that word deserves... One thing for sure is that many attorneys are not on the side of justice. It was also the US Attorney for Massachusetts (though a former one) who tried to send Aaron Swartz to jail.

        1. Anonymous Coward
          Anonymous Coward

          Re: Also spelled

          In the US, "justice" is for courts to decide, not prosecutors or defense attorneys.

          1. Version 1.0 Silver badge

            Re: Also spelled

            But the Supreme Court is populated by politics and the police do not "enforce" the law, they claim that they "are the law" which is why they kill anyone who they think might be abut to scare them or they think has committed a crime, e.g. a kid with a toy, or someone who they have been told bought a packet of cigarettes with a fake $20 bill.

            The USA has some very good principals and attitudes, but they are administered in a terrible way.

  3. Clausewitz 4.0

    FBI going after others while failing illegal surveillance

    Just the FBI going after other folks after their illegal surveillance tatics didn't worked with more intelligent folks...

    Shame on you, FBI...

    1. mcswell

      Re: FBI going after others while failing illegal surveillance

      Да, товарищ!

  4. Rustbucket

    Per-release Financial Filings?

    Typo alert.

    1. Clausewitz 4.0

      Re: Per-release Financial Filings?

      Like dental fillings? Yes they cost a lot and will be monetized !!

  5. sreynolds

    Why only 66%?

    Sounds rather bad to me. What's the problem, they cannot understand company earning reports? Or didn't they have anyone competent in FinSpeak to translate it for them?

    1. lglethal Silver badge

      Re: Why only 66%?

      I'm guessing it was an attempt to pretend they did not have the backstage pass they actually had (so to speak). The SEC's monitoring system is apparently very good. If someone was achieving 100% success rates on their trades, then that would definitely be raising a lot of flags.

      My guess is that the 66% ensured massive gains, whilst the losses on the 33% were magically only very small drops...

      1. Anonymous Coward
        Anonymous Coward

        Re: Why only 66%?

        Also, 66% success is meaningless without proper context. For all we know, each of those 66% netted millions, while the 34% were losses in the $k range.

    2. Doctor Syntax Silver badge

      Re: Why only 66%?

      I suppose if they bet on, say a price rising on a good report and it turns out that the market expected an even better report the price might actually fall.

      They not only have to know what the information says, they also have to make a correct guess as to how the market will react to the news and they're not always going to succeed.

      1. sreynolds

        Re: Why only 66%?

        Well I would think that only something that would disagree with expectation would produce the greater swing in either direction. You could trade derivatives if you wanted to leverage your bets. It would be interesting to see what the actual bets were.

    3. Anonymous Coward
      Anonymous Coward

      Re: Why only 66%?

      Possibly, the remaining 33% was already so widely inside traded via more usual channels that the information gave no advantage, the stock price having made its move before the group got their hands on the pre-release filings.

      Or is that too cynical?

  6. Santa from Exeter


    Is that above or below what a competent company analyst would hit? Is this just a case of Wah,Wah they're better at it than us?

    1. Anonymous Coward
      Anonymous Coward

      Re: 66%

      I don't think that figure alone would stand up in court. They need forensic evidence as well - i.e., digital records of the illegal access. However, better than normal results good have been a trigger to start looking for forensic evidence.

      It would be naive to think that leakage of results (not from the SEC database but per corporation by insiders) was not a common enough occurrence. There is surely is a correlation between size of haul and chance of getting caught. More reason to move away from the economy as a slave to finance, towards finance as a humble servant of the economy.

  7. Winkypop Silver badge
    Black Helicopters

    You know you’re someone when…

    a Government agency goes out of its way to pick you up from the airport.

    Those airport taxis can be dicey.

  8. xyz123 Silver badge

    Putin is only annoyed because he never received his cut (yet) of the monies.

    Once he's paid he'll have less interest in 'rescuing' his comrade and be more interested in having him assassinated to keep him quiet.

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