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Who Hacked AP Twitter?

April 26, 2013 Blog

Securities fraud attorney Jake Zamansky appeared on CNBC today to discuss this week’s hack of the Associated Press’s Twitter account. The incident, in which a shadowy group called the “Syrian Electronic Army” hacked the AP Twitter account and falsely reported that there had been explosions at the White House and that President Obama had been injured, caused markets to swing wildly. The incident was reminiscent of the “Flash Crash” of 2010 and raises real concerns for investors fearful of market manipulation and the pervasive influence of high-frequency traders who can exacerbate market fluctuations with their algorithm-driven trading. And more specifically, investors with “stop loss” orders and mutual funds investors may have been damaged by the incident. In this appearance, Jake Zamansky discussed the legal and policy concerns raised by this incident.