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Ukrainian hacker admits plotting to use stolen news releases

Posted at 12:40 PM, May 16, 2016

NEWARK, N.J. (AP) — Federal prosecutors say a Ukrainian hacker has admitted his role in an international scheme that used stolen unpublished news releases to make $30 million in profits.

Vadym Iermolovych pleaded guilty Monday in Newark, New Jersey, to a complaint charging him with aggravated identity theft and conspiracy to commit wire and computer hacking. The 28-year-old Kiev man faces up to 20 years in prison.

Iermolovych was one of several people arrested in August in the U.S. and Ukraine. The Securities and Exchange Commission also charged them and 23 other individuals and companies in the U.S. and Europe.

The U.S. attorney's office says they gained access to more than 150,000 press releases that contained earnings figures and other information.

They used hundreds of news releases to make stock trades before the information became public.