FBI Nabs Guy Trying to Figure Out if They’re onto Him!
The FBI has arrested a man from Alabama who allegedly hacked into X’s SEC account to post misleading information about Bitcoin, briefly raising the price of the cryptocurrency by $1,000. According to the U.S. Attorney’s Office for the District of Columbia, Eric Council Jr. obtained personally identifiable information and an identification template from co-conspirators, allowing him to create a fake identification for someone with access to X’s SEC account. He then allegedly used that identification at a mobile phone store in Huntsville, Alabama, to obtain an iPhone with a SIM card linked to the victim’s phone number.
Using the manipulated phone, Council allegedly helped his co-conspirators log into the SEC account, from which they falsely claimed: “Today the SEC grants approval for #Bitcoin ETFs for inclusion on all registered national securities exchanges.” In exchange for his help, Council allegedly received payment in Bitcoin.
### Not as smart as he thought
The actions of the accused in the days following the attack suggest that he was not exactly a savvy criminal. The U.S. Attorney’s Office said that Council conducted a series of suspicious internet searches with phrases like “SECGOV hack,” “telegram change,” “how can I know for certain if I am being investigated by the FBI?” and “What are the signs that you are being investigated by the police or the FBI even if they have not contacted you?”
The hack on January 9 caused a temporary increase in the value of Bitcoin, but SEC Chairman Gary Gensler quickly debunked the information from his own account, after which the price of Bitcoin dropped by $2,000. The next day, the SEC officially approved 11 Bitcoin ETFs, but then removed a document about the approval from its website, raising questions about whether it was fake news again.
Council has been charged with conspiracy to commit aggravated identity theft and access device fraud and was scheduled to be prosecuted on Thursday in the U.S. District Court for the Northern District of Alabama.
“These SIM swapping schemes, where scammers trick service providers into giving them control over unsuspecting victims’ phones, can result in devastating financial losses for victims and leaks of personal and private information,” said prosecutor Matthew Graves in a statement. “Here, the conspirators allegedly used their illegal access to a phone to manipulate financial markets. Through charges like this, we will hold those who commit these serious crimes accountable.”
