Investigators asked that the mutual fund company not be identified.

Viktor Savtyrev, of Old Bridge, N.J., pleaded guilty to cyber extortion in U.S. District Court in Newark, N.J. Under the plea agreement, Savtyrev, also known as Victor Savturev, faces a suggested sentence of up to five years in federal prison and a fine of US$250,000.

His sentencing hearing is scheduled for Aug. 24, according to Assistant U.S. Attorney Seth Kosto.

Savtyrev was employed as a systems administrator for the company before he and nine fellow employees were laid off last Nov. 5. All of the laid-off workers were given a severance package, according to a criminal complaint filed with the courts.

Kosto said that with the forcing layoffs in a variety of industries, companies should be extra cautious about securing their networks.