Stop Corrupt Trading Act

This bill establishes new prohibitions against the misuse of sensitive government information for personal financial gain. It specifically targets the purchase, sale, or exchange of "nonpublic information" by high-ranking officials and related entities. The legislation defines "covered persons" as the President and Vice President, and "covered entities" as firms or organizations they control or have a significant financial interest in. "Nonpublic information" encompasses data gained through an official position that is not publicly available, including confidential communications or information routinely exempt from disclosure. The bill explicitly prohibits covered persons and entities from selling or exchanging nonpublic information for financial benefit. Additionally, it makes it unlawful for any other individual to acquire, purchase, sell, or exchange such information for financial gain, aiming to prevent broader insider trading. Violations of these prohibitions carry significant penalties. Criminal offenses for covered persons and entities can result in fines up to double the transaction value, imprisonment for up to five years, or both, alongside criminal forfeiture of proceeds. Other individuals face fines up to double the transaction value for similar offenses. Beyond criminal charges, the Attorney General is empowered to initiate civil actions. These actions can lead to the disgorgement of profits , civil penalties up to $250,000 or three times the gain, and other equitable relief. The Director of the Office of Government Ethics is also required to refer credible evidence of violations to the Attorney General, ensuring comprehensive enforcement.