Cybersecurity expert Peter Girnus has sparked debate online after highlighting what he described as a stark contrast in how insider trading laws are enforced in the United States.
In a widely shared post, Girnus pointed to the prosecution of a U.S. soldier accused of profiting from privileged information, while alleging that similar conduct among lawmakers routinely goes unpunished.
Referencing the case of a Special Forces soldier Gannon Ken Van Dyke charged with multiple federal offences after allegedly using confidential knowledge to place bets on Venezuelan president Nicholas Maduro’s removal from power, Girnus noted the severity of the response, including potential decades in prison. He contrasted this with what he described as a pattern of financial disclosures by members of Congress that reveal well-timed trades linked to non-public information, but result in minimal consequences.
“In 2021, fifty-four members of Congress and senior staff violated the reporting rules. The fines were minimal. Most were waived”, said Girnus.
“A senator on the Armed Services Committee sold defense contractor shares worth $1.2 million. Three days later, his committee received a classified briefing that the Iran campaign had exceeded its projected cost by 340%. The stock dropped 8%. He filed the disclosure sixty-one days late. I calculated the fine. $200. His chief of staff asked if it could be waived. He did not ask what the senator traded on. Nobody asks that. The form does not have a field for it. I waived the fine. The senator’s portfolio returned 23.4% in 2025. The S&P 500 returned 16.8%.
“A representative on the Energy and Commerce Committee bought pharmaceutical stocks worth $400,000. Two weeks later, her committee advanced a bill that would extend patent exclusivity for the exact drug class she purchased. The stocks rose 14%. She filed on time. There was no fine. There was no investigation. There was nothing to investigate because buying stocks in companies regulated by your own committee is not illegal. It is legal. The STOCK Act made it legal by making it disclosed. In Congress, disclosed means legal. In my office, legal means filed.
“A member whose spouse manages a portfolio worth $9.2 million reported forty-three separate transactions in a single quarter. Twelve of them were in sectors directly affected by legislation the member co-sponsored. The timing on eight of those twelve was within a two-week window of committee action. I logged all forty-three. None were flagged. We do not flag. We file.
“Nancy Pelosi entered Congress in 1987 with a portfolio worth approximately $785,000. It is now worth $133.7 million. That is a return of 16,930%. The Dow Jones returned 2,300% over the same period. Professional fund managers who beat the market for three consecutive years are considered exceptional. She has beaten it for thirty-seven. If a hedge fund produced those returns, the SEC would subpoena the records on a Thursday. She produced them from a building with a chapel and a gift shop. She announced her retirement last year. No investigation was opened. No disclosure was flagged. Her filings were on time. In my office, on time means compliant. Compliant means closed.”
Late financial disclosures by lawmakers often incur only minor penalties—typically around $200—which are frequently waived. Girnus argued that despite hundreds of millions of dollars in trades by elected officials each year, there have been no prosecutions under the STOCK Act since its introduction in 2012. “The difference… is not what they did. It is the building they did it in,” he wrote.
Calls for reform have persisted for years, with multiple legislative proposals introduced to restrict or ban stock trading by elected officials, though none have yet been enacted.
I have two stacks on my desk. The left stack is financial disclosure forms from members of Congress. The right stack is waivers for members who filed their financial disclosures late.
The right stack is always taller.
On Wednesday morning, I watched a soldier get arrested on…
— Peter Girnus 🦅 (@gothburz) April 24, 2026
