US man accused of 'insider trading', makes $1.8m by eavesdropping on wife's call

Web Desk
A representational image of working from home. — Pixabay
A representational image of working from home. — Pixabay

United States regulators have accused a man of making $1.8 million by trading on secret information he overheard while his wife was on a work call, The Guardian reported.

According to the Securities and Exchange Commission (SEC), Tyler Loudon was charged with insider trading after he “took advantage of his remote working conditions” and made money off of confidential information on British Petroleums (BP) plans to acquire a truck stop and travel centre in Ohio last year.

The SEC alleges that Loudon, a Houston, Texas, resident, eavesdropped on many work calls made by his wife, a BP merger and acquisitions manager, who was working on the proposed transaction from her home office. 

Weeks before the deal was announced in February 2023, the regulator said Loudon went on a buying spree, buying more than 46,000 shares in the acquisition target, TravelCenters of America, without telling his wife.

Following the announcement of the purchase, TravelCenters' shares shot up by about 71%. After that, Loudon sold all of his shares, making a $1.8 million profit.

Loudon eventually confessed to his wife and claimed that he had bought the shares because he wanted to make enough money so that she did not have to work long hours anymore.

It is reported that Loudon’s wife was fired from BP after she told them about his transactions, even though there was no proof that she had intentionally given her husband access to confidential information. 

She filed for divorce from her husband after moving out.