Dozens charged in decade long insider trading scheme FBI says

A financial insider-trading scheme – that victimized a Massachusetts law firm – was dismantled by the FBI, authorities said.

"With today's arrests,the FBI has dismantled a large-scale, decade-long, international organized criminal network of corporate attorneys and financial professionals who are accused of stealing and trading on material, non-public information from several of our nation’s leading law firms, including one right here in Massachusetts." U.S. Attorney Leah B. Foley said in a press release.

The complex case involved 30 defendants, who allegedly "netted tens of million in illicit profits" by stealing and using "confidential information on nearly 30 merger and acquisition deals from several of the nation’s premier law firms," the U.S. Attorney's office said.

While multiple arrests have been made, the case is still ongoing.

"Our country’s financial marketsand professional firms should be free from the rampant fraud and breaches of duty that these charges allege. The trading on unannounced financial news alleged here not only violated the securities laws, but it also took advantage of the special access and ethical duties that come with a law license," Foley said in a press release. "If the American people believe that trading is only for the connected, they will keep their investment and retirement savings out of the markets, which will hurt our economy. Today’s charges, the result of a years-long investigation with our law enforcement partners, are part of my office’s ongoing efforts to ensure a level playing field for all investors."

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Who was arrested in the connection to the case?

Officials said19 defendants were arrested on May 5, 2026, but added that two of them, believed to in Russia and Israel, are now considered fugitives. The following 16 defendants were charged with two counts of conspiracy to commit securities fraud, two counts of securities fraud and one count of money laundering conspiracy.

1. Pedram Fejal, 39, of Brooklyn, NY

2. Brian Fensterszaub, 45, of Hollywood, Fl

3. Mark Fensterszaub, 47, of Hollywood, FL. Also charged with making false statements to law enforcement.

4. Simon Fensterszaub, 50, of Fort Lauderdale, FL

5. Ilya Gavrilov, 56, of Russia

6. Baruch Igal Hatanian, 39, of Fort Lauderdale, FL

7. Yisroel Horowitz, 50, of Hollywood, FL

8. God Izraelov, 46, of Israel

9. David Moradi, 35, of Brooklyn, NY. Also charged with making false statements to law enforcement.

10. Nicolo Nourafchan, 43, of Los Angeles, CA. He faces additional charges of two counts of obstruction of justice.

11. David Ostrov, 49, of Clifton, NJ

12. Yechiel Salzberg, 51, of Far Rockaway, NY

13. Abe Shilian, 35, of Brooklyn, NY

14. Gavryel Silverstein, 43, of Hollywood, FL

15. Joseph Suskind, 39, of Sunny Isles, FL. Faces an additional charge of making false statements to law enforcement.

16. Robert Yadgarov, 45, of Long Beach, NY

In the second indictment, five defendants with two counts of conspiracy to commit securities fraud, two counts of securities fraud and one count of money laundering conspiracy. They include:

1. Lorenzo Nourafchan, 38, of Los Angeles, CA

2. Nowel Milik, 52, of Brea, CA

3. Nicholas Rudela, 30, of Covina, CA

4. David Makary, 35, of Covina, CA

5. Stjepan Vinski, 30, of Glendora, CA

Another nine were also charged with

Where does the investigation stand now?

The U.S. Attorneystated in its report that, "the government’s investigation is ongoing."

This article originally appeared on wickedlocal.com:FBI charges dozens in insider trading crackdown