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SEC hacker once Googled ‘if I am being investigated by the FBI’

Eric Council Jr., the SIM swap hacker who helped compromise the Securities and Exchange Commission’s X account last year, made $50,000 performing similar attacks and even searched how to tell if the FBI is investigating him, recent filings show.

The recent filing was part of the prosecutor’s request to sentence him to two years in prison over his role in the hack, which saw the SEC X account publish a false announcement that a spot Bitcoin exchange-traded fund was approved, shaking up the markets. 

Council searched: “How can I know for sure if I am being investigated by the FBI” and “How long does it take to delete Telegram account,” US prosecutors discovered following a search warrant of his house, car and devices last June, according to a May 12 court filing.

While Council’s Telegram chats were set up to be removed after two weeks, US prosecutors still found chats of Council discussing SIM swaps with others believed to be located overseas.

Council also admitted to law enforcement that he received around $50,000 for performing SIM swaps for clients between January to June 2024. He advertised himself as a SIM swapping expert on Telegram under the username easymunny, offering services for payment between $1,200 and $1,500.

How Eric Council Jr. pulled the hack off, then got caught

Council executed the SIM swap by creating fake identity documents to specifically impersonate someone that his co-conspirators identified as having access to the SEC’s X account.

These fake documents were then used to trick a staff worker at telecommunications firm AT&T into reassigning the victim’s phone number to Council’s SIM card. 

SEC hacker once Googled ‘if I am being investigated by the FBI’
Council inside an AT&T Store on Jan. 9, 2024. Source: US Government

Council had to share the last four digits of the victim’s Social Security number and driver’s license to effectuate the SIM swap.

He then bought a new iPhone from an Alabama Apple store, inserted the new SIM and shared the access codes to the SEC’s X account with his co-conspirators, who later posted the fake news about the spot Bitcoin ETFs on Jan. 9. The Bitcoin products received official approval the following day.

Council received payment for the SEC SIM swap in Bitcoin (BTC) and other cryptocurrencies, the prosecutors said.

However, Council’s luck ran out on June 12, 2024, when surveillance agents observed him attempting to execute a SIM swap at an Apple store, impersonating another victim.

Law enforcement executed a search warrant six days later and recovered several pieces of circumstantial evidence, including templates for fake identification cards on his laptop.

SEC hacker once Googled ‘if I am being investigated by the FBI’
Two fake ID documents recovered from Council’s Telegram account. Source: US Government

He pleaded guilty on Feb. 10, after a federal grand jury returned an indictment charging him with Conspiracy to Commit Aggravated Identity Theft and Access Device Fraud last October.

Related: SEC Chair: Blockchain ‘holds promise’ of new kinds of market activity

The fake post accumulated over 1 million views before the SEC confirmed it had been hacked roughly 15 minutes later.

The two announcements resulted in Bitcoin’s price initially rising $1,000 before abruptly falling nearly $2,000 shortly after, wiping out tens of millions of dollars worth of market positions.

The security team at X confirmed that the SEC didn’t have two-factor authentication installed on its X account at the time of the incident. The SEC claimed it initially had 2FA enabled but was erroneously removed by X Support following a request by an SEC staff member.

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What’s behind Starmer’s reset?

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What's behind Starmer's reset?

👉Listen to Politics At Sam And Anne’s on your podcast app👈       

As MPs return to Westminster for a packed autumn term, will the prime minister be back with a bang?

Sky News’ Sam Coates and Politico’s Anne McElvoy discuss Keir Starmer’s priorities as the so-called “reset week” begins.

There’s chatter around No 10 of a staffing restructure but could this impact the government’s message and delivery of its missions?

Back in the Commons, the home secretary will lay out the government’s plans to restrict family members from joining asylum seekers.

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What to expect with US crypto policy as Congress comes back in session

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What to expect with US crypto policy as Congress comes back in session

What to expect with US crypto policy as Congress comes back in session

According to some Republican lawmakers, the first crypto-related priority in the Senate will be to pass legislation for market structure.

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Sir Keir Starmer’s ‘Mr Fixit’ is likely to be a recipe for conflict

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Sir Keir Starmer's 'Mr Fixit' is likely to be a recipe for conflict

After a torrid time before the summer break, Sir Keir Starmer has reshuffled his inner circle again on the first day back. 

This has become something of a habit.

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Although none of the Number 10 team are household names or public figures, the tally of those cycling through the top jobs is worth noting.

As of now, he’s had four chiefs of staff – the incumbent returning to the job, two cabinet secretaries with a third rumoured to be on the way and five directors of communications – a job that routinely fails to last a year these days.

The lesson this tells us is that when there’s blame to go around, Sir Keir is happy to apportion it to his closest aides.

In an interview today, the prime minister was clear that these changes are about moving to a new phase of government, more focused on delivery.

More on Keir Starmer

A delivery phase implies legislation completed and a focus on implementation. Bluntly, this is not the case or an accurate assessment of the job that now needs to be done.

The autumn term is not about implementation.

It’s about filling the £20bn to £40bn black hole we expect to emerge in the autumn budget, as well as continuing to deal with an uncertain world globally, and deciding on massively tricky domestic issues like reform of special educational needs and whether to revisit welfare reform.

We are still at the “big choices” section of this parliament, not the delivery phase.

The big choice in Sir Keir’s reset on Monday has been to bring in his own Mr Fixit into Downing Street.

He chose a mid-level cabinet minister, Darren Jones – until today the number two in the Treasury – and has parachuted him into his office to oversee policy.

This is an appointment, I’m told, that was pushed and encouraged by Rachel Reeves because of Mr Jones’ role in the spending review.

As chief secretary, Mr Jones is meant to have gone item by item through every department’s budget. He knows where the financial bodies are buried and will be a major alternate source of advice for Sir Keir to individual cabinet ministers.

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This is undoubtedly a recipe for conflict. There are already some around the cabinet table who found Mr Jones’ style a touch brusque. His fans say this is part of why he is effective: he is prepared to challenge what he’s told, is an independent thinker and unafraid to challenge big beasts.

He will now play this role permanently, on behalf of the prime minister, and structurally, this means he is bound to be disliked by several of these colleagues who will no doubt, in time, seek to undermine him, just as he will challenge them and have the last word with Sir Keir.

No matter that some might be surprised at the choice, as a fiscal and reforming hawk, since few would put him on the same ideological wing of the party as the prime minister. He is also a late joiner to the Starmer project, although joining in opposition spent years longer than some as chair of the business select committee rather than taking more junior roles.

This is now immaterial. He is responsible for making Sir Keir’s government work in practice. His colleagues could do worse than to sincerely wish him good luck and leave him to it, as there is a great deal to be done.

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