On Wednesday, April 8, 2026, U.S. Representative Ritchie Torres (D-N.Y.) formally requested a federal investigation into what he describes as “one of the largest instances of insider trading in history.”
The probe centers on highly suspicious and profitable trades made in the oil and equity markets just minutes before President Trump announced a five-day pause in hostilities against Iran’s energy infrastructure in late March.
The “Statistical Impossibility”
According to Torres, the timing and scale of the trades suggest that someone had prior knowledge of the President’s Truth Social announcement before it went live.
- The Trade: More than $500 million in crude oil futures were traded at approximately 6:49 a.m., just 15 minutes before the announcement.
- The Bet: The traders bet heavily on a decline in oil prices and a rebound in the S&P 500—exactly what happened once the “ceasefire” was announced.
- The Lack of Hedge: Torres noted that the trades were made without traditional hedging, a move he says no rational trader would make unless they were certain of the outcome.
- The Quote: “What kind of trader would make a massive trade… with billions of dollars at stake and without a hedge? The only plausible answer is an insider trader.”
Calls for Accountability
Torres sent a letter to the leadership of the two primary market regulators, urging them to obtain comprehensive trading records:
- SEC Chair Paul Atkins: Leading the Securities and Exchange Commission.
- CFTC Chair Michael Selig: Leading the Commodity Futures Trading Commission.
While the SEC has recently named David Woodcock as its new enforcement director, Torres expressed a “lack of confidence” in current regulators to pursue the administration, but insisted that Congress must “agitate for accountability.”
A Pattern of Suspicion
This is not the first time Torres has flagged potential leaks within the Trump administration regarding major geopolitical events:
- The “Venezuela Bet”: In January 2026, a user on the prediction market Polymarket placed a perfectly timed bet hours before the U.S.-led ouster of Nicolás Maduro, netting a $400,000 payout.
- Proposed Legislation: Torres has introduced a bill to bar federal officials, staff, and appointees from trading “event contracts” (like those on Polymarket) based on non-public government information. However, with a Republican-controlled House, the bill faces an uphill battle.
The Context of the Iran War (April 2026)
The trades in question occurred during the height of Operation Epic Fury. The market volatility surrounding Iranian oil export hubs like Kharg Island has created a high-stakes environment where a single presidential post can move billions of dollars in seconds.
Event Time of Trade Time of Announcement Market Move
Iran Attack Pause 6:49 a.m. 7:04 a.m. Oil Down / Stocks Up
Maduro Ouster 2:00 a.m. 5:00 a.m. Polymarket Payout