A Brooklyn man has been charged with a long-running international insider trading scheme that netted him millions of dollars in ill-gotten gains. Jason Peltz, a 10-count indictment alleges, used material nonpublic information to execute securities transactions in the brokerage accounts of co-conspirators.
According to the indictment, between November 2015 and October 2020, Peltz and his co-conspirators engaged in a fraudulent scheme by which they obtained material nonpublic information (MNPI) about publicly traded companies from a variety of sources, including a corporate insider and a reporter at a financial news organization.
The charged crimes arise out of a long-running insider trading scheme, in which Peltz executed securities transactions in the brokerage accounts of co-conspirators based on material nonpublic information (“MNPI”) from a variety of sources. Peltz was previously arrested on a complaint in December 2020 and will be arraigned on the indictment at a later date.
“As alleged, Peltz used material nonpublic information about publicly traded companies to line his own pockets and then concealed his illegally earned income to avoid paying taxes,” stated Acting U.S. Attorney Mark J. Lesko. “This Office will spare no effort to identify and prosecute defendants who seek to profit from insider trading schemes that harm the investing public and undermine the integrity of our financial markets.”
Peltz is charged with securities fraud, money laundering, and tax evasion, among other offenses, including related conspiracy offenses. The indictment alleges that Peltz and his co-conspirators used the MNPI to profitably trade in securities in advance of public disclosure through news articles.
Peltz was arrested on a complaint in December 2020 and will be arraigned on the indictment at a later date. The defendant will face significant prison time if convicted of the charges. The full extent of the scheme and its financial impact on the victims are still being investigated.
In a statement, the FBI Assistant Director-in-Charge William F. Sweeney, Jr. said, “Exploiting this knowledge is illegal, and the FBI will continue to investigate and prosecute those who cheat the system in this way.”
The investigation was conducted by the Federal Bureau of Investigation, the IRS Criminal Investigation, and the Securities and Exchange Commission, New York Regional Office.
Defendant: Jason Peltz
Criminal Charges: Securities fraud, money laundering, and tax evasion
City and State: Brooklyn, New York
Date: December 2020
Sentence: To be determined
Dollar Amounts: None specified
Related Federal Cases
- Bancorp Piper Jaffray Inc, Illegal Trading Activity, New York NY, 2023 · New York
- Amit Kanodia Convicted of Insider Trading Scheme, Boston MA, 2013 · New York
- David Hobson, Insider Trading, NY 2024 · New Hampshire
- Michael Decker, EDD Insider Theft, New York 2023 · Washington
- Sepehr Sarshar, Insider Trading Scheme, NY 2024 · New York
Key Facts
- State: New York
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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