SEC sues Estonian firm over press release thefts

02.11.2005

Cathy Tamraz, Business Wire's president, said her company first learned of the breach from the SEC. "We were alerted to some unusual activities by the SEC," she said. "This was a sophisticated hack, and once it was brought to our attention... our technicians went to work and solved part of the mystery that led to the filing.... Then we were able to close up the breach, and we've taken additional security measures."

Hawke said the scheme began last January and continued until the close of business on Monday.

The complaint seeks permanent injunctive relief and the return of all illegal profits along with prejudgment interest. It also calls for civil monetary penalties.

The federal District Court has issued a temporary restraining order that, among other things, freezes the defendants' assets and orders them to return any illegally-obtained money to the U.S., the SEC said.