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Highlights
- Hacker Eric Council Jr. netted $50K for SEC SIM swap that triggered a $1K Bitcoin spike.
- FBI found fake IDs, SIM swap guides, and SEC hack searches in Council’s home.
- SEC false ETF post exploited SIM-swapped number; device used was later refunded.
Eric Council Jr., 26, of Athens, Alabama, has been sentenced to 14 months in federal prison for his involvement in a cybercrime conspiracy. The case involved the hacking of the U.S. Securities and Exchange Commission’s (SEC) official X (formerly Twitter) account.
Eric Council Jr Sentenced to 14 Months
According to a statement from federal authorities, Eric Council Jr conspired with others to gain access to the US SEC’s X account by carrying out a SIM swap. On January 9, 2024, a false post was published from the account, falsely claiming the SEC had approved Bitcoin Exchange Traded Funds (ETFs). Bitcoin’s price rose quickly by more than $1,000 before falling after the SEC confirmed the post was not legitimate.
Eric Council Jr pleaded guilty in February 2025 to conspiracy to commit aggravated identity theft. U.S. District Judge Amy Berman Jackson sentenced him to 14 months in prison, ordered the forfeiture of $50,000, and imposed three years of supervised release.
He is prohibited from accessing the dark web or engaging in any activity involving identity fraud during the supervision period.
SIM Swapping Attack Allowed Account Takeover
Court documents show that Council used a fake ID to impersonate a victim at an AT&T store in Huntsville, Alabama. He requested a replacement SIM card linked to the mobile number tied to the SEC’s X account. After receiving the SIM, he purchased an iPhone and inserted the card to activate it.
Council then received password reset codes sent to that number. He took a photo of the code and sent it to his co-conspirators. The new device was returned for a refund after the code was shared. That code enabled unauthorized access to the SEC account, which was used to publish the false announcement.
Officials said Council used his own portable ID card printer to create the fake identification card used in the store. He later admitted that he was paid around $50,000 to perform the SIM swap.
FBI Recovered Evidence During Search
In June 2024, the FBI searched Council’s apartment in Athens, Alabama, and found a fake ID, a laptop, and the ID card printer. A forensic review of the laptop revealed templates for additional IDs and a history of internet searches related to the SEC hack, Telegram SIM swaps, and how to detect FBI investigations.
Search history included phrases such as “SECGOV hack,” “how can I know for sure if I am being investigated by the FBI,” and “how long does it take to delete Telegram account.” Agents also found a list of Verizon stores and references to federal identity theft laws.
Council was arrested on October 17, 2024. He later accepted a plea deal, admitting to the conspiracy. Prosecutors had recommended a two-year sentence.
Federal Officials Respond to the Sentencing
U.S. Attorney Jeanine Ferris Pirro said, “Schemes of this nature threaten the health and integrity of our market system.” She added that SIM swapping affects not just individuals, but also institutions and agencies.
Matthew R. Galeotti, head of the Justice Department’s Criminal Division, stated, “Council and his co-conspirators used sophisticated cyber means to compromise the SEC’s X account.” He noted the importance of prosecuting those who attempt to profit by disrupting markets.
FBI Acting Assistant Director Darren Cox called the act a calculated effort to deceive the public. SEC Inspector General Deborah Jeffrey and Special Agent Amanda James confirmed their continued cooperation in enforcing cybersecurity and account protection.
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