SEC SIM-Swapper Who Googled 'Signs That The FBI Is After You' Put Behind Bars
In a shocking case of cybercrime, an Alabama man has been sentenced to 14 months in prison and three years of supervised release for his role in SIM-swapping his way into the SEC's official X account. Eric Council Jr., 26, of Huntsville, Alabama, proved that even the most skilled cybercriminals can be outsmarted by their own lack of internet search hygiene.
A Recipe for Disaster
Council's downfall began when he used his personal computer to search incriminating phrases such as "SECGOV hack," "telegram sim swap," "how can I know for sure if I am being investigated by the FBI," and "Federal identity theft statute." These searches revealed a tangled web of deceit and deception that ultimately led to his own downfall. According to court documents, Council's actions were part of a larger scheme with co-conspirators who took over the SEC's X account in January 2024.
A False Announcement Sparks Chaos
The crew used the compromised account to post a message that purported to come from then-SEC chair Gary Gensler and falsely announced that the government had approved Bitcoin exchange-traded funds (ETFs). The hoax message triggered a jump of more than $1,000 in Bitcoin's price. However, after the federal regulator regained control of the compromised account and posted a retraction, the value dropped by over $2,000.
A Complex Web of Deceit
Council and his co-conspirator compromised the social media account via SIM-swapping someone who had access to the SEC's X account. The victim, identified as "C.L.," was tricked into handing over their personal information, which was then used to create a fake ID with the help of an ID card printer.
A Sim-Swapping Scam
SIM swapping is a scam where crooks trick a mobile carrier into transferring a victim's number to a SIM they control, allowing them to hijack calls, texts, and login codes. Council tricked an employee at an AT&T store in Huntsville by showing them a phony ID and claiming he was an FBI employee who had broken his phone and needed a new SIM card.
A Desperate Attempt to Cover His Tracks
Council then visited a nearby Apple store, bought an iPhone, and put the C.L. SIM card into this new mobile phone to receive two-factor security reset codes associated with the @SECGov X account. He shared the reset code with his co-conspirator, who used it to access the SEC's X account and post the false announcement about the approval of Bitcoin ETFs.
The deliberate takeover of a federal agency's official communications platform was a calculated criminal act meant to deceive the public and manipulate financial markets. Council attempted to erode public trust and exploit the financial system, as stated by FBI Criminal Investigative Division Acting Assistant Director Darren Cox in a statement after the sentencing.
Council's actions serve as a stark reminder that anyone who abuses public platforms for criminal gain will be held accountable. The FBI's efforts to hold cybercriminals like Council responsible for their actions demonstrate the agency's commitment to protecting the public and upholding the law.