{"id":6065,"date":"2016-11-14T20:19:08","date_gmt":"2016-11-15T02:19:08","guid":{"rendered":"https:\/\/www.institutionalinvestorsecuritiesblog.com\/?p=1212"},"modified":"2016-11-14T20:19:08","modified_gmt":"2016-11-15T02:19:08","slug":"day-trader-pleads-guilty-fraud-2010-flash-crash","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/","title":{"rendered":"\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash"},"content":{"rendered":"<p>\t\t\t\tA British day trader has pleaded guilty to <a href=\"https:\/\/www.investorlawyers.com\/\">spoofing <\/a>and wire fraud involving the 2010 Flash Crash. Navinder Singh Sarao was accused of making $40M while spoofing the stock futures market of CME Group Inc. (NASDAQ: CME)\u00a0\u00a0for more than five years. He also will forfeit $12.9M of the ill-gotten gains that he made from trading. Sarao is facing a maximum of 30 years in prison. It was during the 2010 Flash Crash that a trading frenzy briefly took down nearly $1 trillion from American equities.<\/p>\n<p>To face the 22 criminal charges against him for market manipulation and fraud, the day trader had to be extradited from the United Kingdom to the United States. US prosecutors accused him of rigging the futures on the S &amp; P 500 Index.<\/p>\n<p>Spoofing involves manipulating prices by placing trade orders but with no plans of executing them. The purpose is to send prices moving in one direction but then cancelling the trades prior to execution in order to make money off the prices going back to where they originally were before the manipulation.<\/p>\n<p> <a href=\"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/#more-6065\" class=\"more-link\">Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A British day trader has pleaded guilty to spoofing and wire fraud involving the 2010 Flash Crash. Navinder Singh Sarao was accused of making $40M while spoofing the stock futures market of CME Group Inc. (NASDAQ: CME)\u00a0\u00a0for more than five years. He also will forfeit $12.9M of the ill-gotten gains that he made from trading. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3810,3741],"tags":[3714,2742],"class_list":["post-6065","post","type-post","status-publish","format-standard","hentry","category-cftc","category-securities-fraud","tag-navinder-singh-sarao","tag-spoofing"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash &#8212; Investor Lawyers Blog &#8212; November 14, 2016<\/title>\n<meta name=\"description\" content=\"A day trader has pleaded guilty to wire fraud involving the 2010 Flash Crash. Sarao was accused of making $40M while spoofing the stock futures market.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash &#8212; Investor Lawyers Blog &#8212; November 14, 2016\" \/>\n<meta name=\"twitter:description\" content=\"A day trader has pleaded guilty to wire fraud involving the 2010 Flash Crash. Sarao was accused of making $40M while spoofing the stock futures market.\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash &#8212; Investor Lawyers Blog &#8212; November 14, 2016","description":"A day trader has pleaded guilty to wire fraud involving the 2010 Flash Crash. 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Sarao was accused of making $40M while spoofing the stock futures market.","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash","datePublished":"2016-11-15T02:19:08+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/"},"wordCount":568,"keywords":["Navinder Singh Sarao","Spoofing"],"articleSection":["CFTC","Securities Fraud"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/","url":"https:\/\/www.investorlawyers.com\/blog\/day-trader-pleads-guilty-fraud-2010-flash-crash\/","name":"\u00a0Day Trader Pleads Guilty to Fraud in 2010 Flash Crash &#8212; Investor Lawyers Blog &#8212; November 14, 2016","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#website"},"datePublished":"2016-11-15T02:19:08+00:00","author":{"@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"description":"A day trader has pleaded guilty to wire fraud involving the 2010 Flash Crash. 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