US Prosecutors Charge Former Trade Desk Director Over $338,000 Insider Trading

August 21, 2026
By Mintesinot Nigussie

US prosecutors have charged a former senior director at advertising technology company The Trade Desk with securities fraud, alleging he used confidential financial information to make more than 338,000 US dollars from trades ahead of the company’s earnings announcements.

Jesse Mitchell, 48, was arrested and charged with two counts of securities fraud following an investigation by the US Attorney’s Office for the Southern District of New York and the Federal Bureau of Investigation.

According to the indictment, Mitchell joined The Trade Desk in June 2024 as a senior director on its financial planning and analysis team, giving him access to confidential revenue, earnings and other financial data before it was released publicly.

Prosecutors allege Mitchell used that information to trade the company’s securities during periods when employees were prohibited from trading.

In August 2024, before The Trade Desk released its second-quarter results, Mitchell allegedly bought company shares while aware of its confidential financial results. The company subsequently reported revenue above its previously disclosed estimate, sending its share price about 12 percent higher.

Mitchell then sold the shares, generating about 19,696 US dollars in alleged illegal profits, according to prosecutors.

The larger alleged trade occurred ahead of The Trade Desk’s fourth-quarter 2024 results, when prosecutors say Mitchell purchased put options while aware that the company’s results were below its previously disclosed revenue expectations.

The Trade Desk subsequently reported its first revenue miss since going public in 2016. Its shares fell about 30 percent following the announcement.

Mitchell sold the put options after the results were made public, generating about 318,362 US dollars in alleged profits, according to the indictment.

The two trades generated a combined profit of about 338,059 US dollars, prosecutors allege.

US Attorney Jamie McDonald said the case demonstrated the risks posed by employees using confidential corporate information for personal gain.

“Confidential information is not a personal profit opportunity,” McDonald said, adding that insider trading can damage investors, companies and confidence in financial markets.

The FBI said its New York Financial Crimes Task Force was continuing to investigate financial crimes, including insider trading. The US Securities and Exchange Commission and the Financial Industry Regulatory Authority assisted with the investigation.

Mitchell faces one securities fraud charge under Title 15, which carries a maximum sentence of 20 years in prison, and another under Title 18, carrying a maximum sentence of 25 years.

He is due to appear in the US District Court for the Central District of California. The case has been assigned to US District Judge Jennifer H. Rearden.

Source: FSX Business News