Teleprompter Operator Fined for Insider Trading

A teleprompter operator for former President Donald Trump has been ordered to pay $172,000 for trading prediction markets using confidential information obtained from upcoming presidential speeches. The Commodity Futures Trading Commission (CFTC) disclosed this information in a recent announcement.

Gabriel Perez leveraged “material, nonpublic information” from his role as a technical assistant to place trades on a prediction market. The CFTC stated that Perez must pay back his profits of $107,539.02, along with a civil penalty of $65,000. His trading activities took place on the platform Kalshi.

As part of the penalty, Perez is also prohibited from trading on prediction markets for three years. Kalshi played a role in uncovering the wrongdoing, with a surveillance investigation identifying Perez’s prohibited trading actions. Kalshi’s lead attorney, Bobby DeNault, remarked, “A White House staffer engaging in prohibited trading activity was caught and penalized by the CFTC and our exchange.” He emphasized the importance of adhering to rules and laws.

It doesn’t matter who you are: violate our rules or federal law and you will face the consequences.

The White House did not provide immediate comments, and Perez was unreachable for comment. The CFTC labeled his actions as insider trading, highlighting his trades based on “presidential mention market contracts.” These contracts were related to specific words or phrases the President might use in speeches.

Perez served as a teleprompter operator for Trump since 2016. When announcing penalties, the CFTC acknowledged Perez’s “exemplary cooperation” in the investigation. Former White House press secretary Karoline Leavitt had previously condemned the trades as unethical and disgraceful, noting that Perez was placed on leave and would no longer be part of the team.