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Estonia joins US in LHV indictment

Lepik and Peek took advantage, say police.

The Estonian Central Criminal Police has submitted an indictment against Kristjan Lepik and Oliver Peek for violations of the punitive code dealing with securities transactions and use of confidential information.

After the indictment by the US Securities and Exchange Commission, the Estonian prosecutorÂ’s office launched its own investigation. The two young men were accused of carrying out a fraud scheme where confidential information was acquired with the help of computer programs from the service Business Wire.

The reaction of the Estonian business community and press has been mixed, some readily condemning the young men, others offering the excuse that “business rules are different in the US and in Estonia” and that “the boys probably didn’t understand they had done anything wrong.” Stay tuned. But the SEC tends to have little sympathy for pleas of ignorance.